Retirement Planning - The Essentials

Under the military’s new Blended Retirement System, about 85 percent of all active-duty and reserve service members will receive a retirement benefit, even if they don’t qualify for full retirement. That’s a big difference from the low numbers of service members today saving for retirement. Your future self will thank you if you begin saving even modestly today for your tomorrow. Recent changes make it easier to save for your future.

Learn how you can safeguard your financial future and understand the new retirement system, including:

What should service members be aware of when deciding whether to change over to the new system?

Do your homework and stay informed on early retirement savings and your ability to build interest over time. These are important financial concepts to learn about and pay attention to. Get answers to all your retirement questions before you make a decision.

Relevant Articles:

Relevant Resources:

How long will the Department of Defense match my contributions?

The Department of Defense will contribute 1 percent of a service member’s basic pay to his or her Thrift Savings Plan after 60 days of entering service and will begin to match the service member’s contributions (up to an additional 4 percent when a service member contributes at least 5 percent), at the start of the third year of service. Both the 1 percent contribution and matching contributions from the Department of Defense continue through the end of the service member’s 26th year of service.

Relevant Articles:

Relevant Resources:

How does the Thrift Savings Plan figure into the new system?

Blended retirement will enroll all service members joining after January 2018 into the Thrift Savings Plan, with automatic and matching Department of Defense contributions. After completion of two years of service, service members are vested and that money belongs to them. If they leave, it goes with them.

Relevant Articles:

Relevant Resources: