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Closing Out the Old and Bringing in the New

Posted on Monday, 26th December 2011 by

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It has been a busy year; from changing FEHB providers to new business ventures, an operation, travels, and more.  One of the most significant for me and my wife was switching from Blue Cross Blue Shield Basic (BCBS) to the Government Employees Health Association (GEHA) Standard option during the FEHB open season. When I retired in 2005 we enrolled in the BCBS fee-for-service plan because our HMO wouldn’t cover us during our travels. Unfortunately, there was a rift between providers in the Pittsburgh area that may exclude many of our doctors from the BCBS plan so we had to make the switch. The plans are always difficult to evaluate; so many variables and possibilities that I spent many hours reading their literature and talking with both BCBS and GEHA customer support.

The long and short of it was that the GEHA standard plan, unlike the BCBS Cross basic plan, offers non-PPO coverage so no matter where in the country you end you have treatment options.  Another factor was that the GEHA plan, that includes expanded non-PPO coverage, cost only $210.86 monthly for Standard Option Self and Family compared to $285.42 for Blue Cross Basic self and family coverage, a $74.56 monthly savings or $895.72 per year! The apparent savings are elusive since there are no calendar year deductibles with BCBS basic and the GEHA standard plan has a $350 a year per person deductible.

One of the reasons that I didn’t switch to either the BCBS standard or the GEHA plans previously was the fact that I didn’t understand the co pay / coinsurance structure. After much reading and discussions with others in similar plans I decided that they were not a problem since all of the plans have similar catastrophic limits, even the BCBS basic plan.  I had surgery last year and ran the numbers to compare my costs under the new plan and with the lower monthly costs for the GEHA plan there was little difference.

The new OPM FEHB site at https://retireefehb.opm.gov made the change a snap. I registered on the new site, had brochures sent out, made the switch and received immediate verification unlike in the past when you had to send everything in by mail and wait for weeks to receive your confirmation.  I’m on the site now and can see that my new plan is identified and I was able to download a confirmation sheet to show to providers since my cards haven’t arrived yet.

We continue to grow and expand our retirement planning site and now have 6 forums that cover the following areas:

Our new financial planning forum and host is introduced in the following section.  We grow our site based on visitor input.  Your questions and comments have been very helpful and we found hosts that can address the major concerns and issues encountered by federal employees and retirees. Keep the input coming and let us know what we are doing right and when we need to go further to address all of our visitor’s needs.

Welcome Aboard  – Bringing in the NEW

I would like to introduce everyone to our new Financial Planning Forum hosted by Paul Risser. Paul’s first article titled “Why Financial Planning” is posted on line and his next article titled “What Beneficiaries Need to Know” is a must read for all retirees and federal employees planning their retirement. It discusses the many issues including legally, who is a beneficiary and the many variations thereof. You can add Paul’s column to your email newsletter list by clicking here and type in your email address.  Instructions on how to update your newsletter profile will be emailed to you.

Paul owns Risser Financial Services and he is a Chartered Federal Employee Benefit Consultant (ChFEBC). His years of experience helped him design an hour presentation, Federal Employee Benefit Basics, which explains annuity computations, FEGLI life insurance, and the TSP. He has presented this program for numerous federal agencies and also offers this program as a webinar.

Updates

  • FEGLI Rate Increases – OPM announced changes in premiums effective 1/1/2012 for certain Federal Employees’ Group Life Insurance (FEGLI) categories.  These include changes to premiums for Option B (most age bands), Option C (all age bands), and Post-Retirement Basic Insurance (for annuitants only). There will be no change in premiums for Basic Employee or Option A coverage.  Review the new rates for annuitants and employees on our site.
  • Retirements surged over 25% to over 100,000 last year according to OPM and retirement processing delays will continue due to the VERAs and VSIPs that will be offered by many agencies in the coming years.  My next article titled “Retirement Precautions, TSP Updates, and Retiree Jobs” talks about the many issues and OPM guidance that can be used  to prevent interim retirement check problems when you first leave federal service.
  • 2012 Pay Schedules posted – Due to the pay freeze salaries remain at the 2010 levels. The pay freeze may be extended for up to 5 years under various bills proposed by Congress. More to come. OPM reported that the increase in retirements is partially due to the pay freeze.  You still earn more for each year if you aren’t maxed out but the high three salary is staying the same.
  • 2012 COLA – The Good News – Colas resume after a  two year absence for federal annuitants and Social Security recipients in 2012, 3.6% for CSRS and 2.6% for those in the FERS system. Review COLAs going back to 1999 and to determine how they are calculated on our site.  Since I retired in 2005 my CSRS annuity has increased by over 19% due to COLAs not counting any compounding.  If the adjustments to COLAs are weighted in the future as proposed they may be much smaller in subsequent years.
  • Helpful Smartphone Apps for Retirees and Caregivers – The Smartphone revolution is improving access to needed retiree services and information. There are (Apps), software applications, that you can download for free or for a small fee to help you manage everything from pain care and pill reminders, to elder care and more. The free Pain Care app tracks symptoms, side effects, and triggers for patients.  The information is available for your next doctor’s visit. For a list of apps visit (www.apple.com/iphone/from-the-app-store ) and search for the topics of interest.
  • Persistence pays off – Last June I purchased another year of extended service from a major computer manufacturer and online support to correct a major software problem that I encountered. The problem wasn’t fixed and I found out in November that the extended warranty that I purchased wasn’t valid because the computer was over 5 years old. I called tech support to advise them that the problem still existed and they refused to provide support.  On and off for over two months I tried to get this resolved and the monies refunded without success.  The company somehow entered the incorrect data and even though they charged my credit cared the billing address was a company in another state. I spent many hours on the phone and could not get them to address the problem. Finally I filed a formal complaint with the Better Business Bureau and as a result a company representative called, corrected the discrepancy, and refunded the charges to my credit card. If you have similar problems go to www.bbb.org, select the United States Office and then click on file complaint. The process is easy and you don’t have to be a member of the BBB to file a complaint. It worked well for me.

Learn more about your benefits, employment, and financial planning issues on our site and visit our Blog frequently at  https://fedretire.net to read all forum articles.

Request a Retirement Benefits Summary & Analysis from a local adviser. A sample analysis is available for your review. Includes projected annuity payments, income verses expenses, FEGLI, and TSP projections. This service is not affiliated with www.federalretirement.net.

Visit our other informative sites

The information provided may not cover all aspect of unique or special circumstances, federal regulations, and financial information is subject to change. To ensure the accuracy of this information, contact your benefits coordinator and ask them to review your official personnel file and circumstances concerning this issue. Retirees can contact the OPM retirement center. Our article is not intended nor should it be considered investment advice. Our articles and replies are time sensitive. Over time, various dynamic economic factors relied upon as a basis for this article may change.

Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, EMPLOYMENT OPTIONS, FINANCE / TIP, RETIREMENT CONCERNS, SURVIVOR INFORMATION

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Why Financial Planning?

Posted on Sunday, 11th December 2011 by

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Financial Planning is simply taking a snapshot of where you are financially today and calculating what you will have and need in retirement down the road. Federal employees have some unique planning issues that Non-Federal employees usually don’t face such as:

When calculating future needs, the general rule of thumb is to have between 70% and 80% of your current income in retirement to maintain a similar quality of life. To develop an effective plan you should first consider your personal retirement goals and evaluate whether or not you will have sufficient income and investments to maintain the lifestyle you desire. Unfortunately many approaching retirement pay little attention to this critical first step and what they must do to achieve their goals.

Many other important questions surface when developing your personal plan such as but not limited to:

  • Do you know what your approximate annuity amount will be in retirement?
  • Are you planning to take the full survivor benefit option on your annuity?
  • If not are you planning for the income gap?
  • What FEGLI options do I choose?
  • Should I purchase private life insurance?
  • How will I receive income from your TSP?

There are many things to consider and if you don’t take the time to plan effectively your retirement dream could potentially become you and your loved ones nightmare.

Things like life insurance and the FEGLI program may throw you a curve. Do you know what you really need when you retire and that electing a 75% reduction of the FEGLI basic coverage in retirement will decrease your Basic coverage to 25% and is free after age 65? Option A also decreases to $2,500 of free coverage in retirement if you elect the 75% reduction. Many retirees may need to cover mortgage debts, vehicle and credit card debts with additional insurance. Will you have enough coverage when you retire?

Are you taking advantage of the TSP? If you age 50 or over are you taking advantage of the catch up provision? What about converting to a ROTH IRA? How do you plan to take income from your TSP? Do you know you are allowed one partial withdrawal and that you can take monthly TSP withdrawals? However, you can only change the amount once a year. You can take a fixed amount from your TSP. You can also elect to roll all or a part of your TSP account into an IRA where you have additional investment choices available to you.  Another major factor to consider is how your non TSP assets come into play. A financial planner can help you make sense of it all and will recommend a plan based on your personal situation.

I believe Financial Planning is essential to a successful retirement because it helps prepares you for the future. It also helps negotiate the financial barriers that arise at various stages of life.

The first step in the financial planning process is to find a financial professional that can help you make sense out of it all. I have a personal profile questionnaire which asks specific questions about federal benefits and goals. Once the personal profile questionnaire is filled out we can then analyze and evaluate your financial status and begin the financial planning process. You can get a personal profile questionnaire by e-mailing me at prisser@tfamail.com.

Because of the unique benefits and annuity questions that can arise for federal employees, it’s important to take a snapshot of where you will be initially in retirement. The next step is to project how your assets will serve you over your lifetime. This process determines if you will have sufficient income and resources to cover expenses over time.

For information on your benefits, retirement eligibility, and annuities visit the following websites:

Paul H Risser, host of this site’s Financial Planning Forum, is an Investment Advisor Representative with and Securities and Investment Advisory Services offered through Transamerica Financial Advisors, Inc. (TFA) member FINRA, SIPC and a Registered Investment Advisor. Non-Security products and services are not offered through TFA. TFA and Risser Financial Services are not affiliated.

Special note

Traditional IRA’s
Taxes are deferred until distributions are made at retirement. Distributions are then taxable as ordinary income. Any withdrawals prior to age 59 ½, a 10% federal penalty tax may apply to the taxable amount. Contributions may be tax deductible depending on income limits.

Roth IRA’s
Earnings grow tax-deferred. Contributions are made with after-tax money. Qualified distributions are tax-free upon retirement when an account has been open for at least five-years and/or certain requirements have been met. Non-qualified distributions of earning are taxed as ordinary income and prior to age 59 ½, a 10% federal penalty tax may apply to the taxable amount. Eligibility to participate depends on adjustable gross income amounts.

While the author and publisher have used their best efforts in providing retirement and financial planning information, they make no representations or warranties with respect to the accuracy or completeness of the content of this article, forum and Website, replies to site visitor questions, or prepared articles, and they specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. The advice and strategies contained herein may not be suitable for your situation. You should consult with a financial professional where appropriate. Neither the author or publisher shall be liable for any loss or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.

Learn more about your benefits,  employment, travel, and financial planning issues on our site and visit our Blog frequently at https://fedretire.net to read all forum articles.

Visit our other informative sites

Helpful Retirement Planning Tools
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Posted in ESTATE PLANNING, FINANCE / TIP, RETIREMENT CONCERNS, UNCATEGORIZED

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Stop #4 – Everything’s Replaceable, or Is It?

Posted on Thursday, 8th December 2011 by

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Whew! Last year our trip along the road to good health had a serious breakdown when my hard drive crashed. What a horrible experience that turned out to be. I found out, first hand, how not to back up your files. While I thought I was pretty good at saving all the important stuff, I found out just how inadequate my efforts were. I did manage to recover all my essential financial data, but most of everything else was in bits and pieces. So I did what needed to be done and went off to my friendly computer store and replaced my system and started all over with better, faster equipment. And, while I’ll never recover all of my research and other data, I did set up a much more reliable system to ensure my files are backed up so I don’t have a repeat performance at some point in the future. Now that I’m back and have finally stopped procrastinating and started writing the Forum again, It’s time to continue our Bus Ride to Great Health.

Since it’s been a while, let’s have a quick review of where we were headed when the “bus” broke down.

I asked the question, “Did we miss the bus?” Over this past decade, it seems that the only thing that grew more than the cost of health care was the size of our waistlines. While medical science has provided us with better treatment options, heart disease and cancer still top the list of what kills us. Amazingly, the proper usage of prescription medication has now become one of the leading causes of death. Cardiovascular diseases are being diagnosed in children, type II diabetes is still on the rise and numerous other indicators tell us that in spite of technological and treatment advancements which may help us live longer, we are not getting healthier.

I also noted that I’d highlight 10 stops along the way to help us all meet our wellness goals. While I’ll present them as #10 through #1 – ala Dave Letterman – the importance and significance of each will depend upon your own individual circumstances. I’d encourage each of you to keep this list handy and incorporate these suggestions into your daily routine as much as possible.

The first 3 stops were:

#10 – Plan Your Journey. Here we learned the acronym GETFIT which taught us to set Goals, ensure adequate Evaluation of our journey, have realistic Time frames, to get and stay Fit, to track and record the Information for our progress and to be Tenacious in our efforts.

#9 – Back To Basics. Here we focused on nutrition from the ground up and provided tips from the American Dietetic Association to help us eat right.

#8 – An Ounce of Prevention. The emphasis here was that it is far easier (and better!) to stay healthy rather than to try to get well.

I included the link to the first three to get back up to speed and ready for the rest of the ride. All of my articles are listed online in the archive.  Now it’s time for our next stop on the Bus to Great Health.

#7 – Everything is Replaceable. As I marveled at just how much better my new computer system was compared to the one it replaced, I thought about how many of us may feel that we can treat our bodies just like the electronic and mechanical devices we use. If a part fails, we’ll just go out and replace it with the newest model. More often than not, the new part is superior to the part it replaced. Is that same thing true for our bodies?

Transplant surgery is becoming more and more common and I am constantly amazed at the incredible advances in this field of medicine and of the skill levels of the medical professionals who perform these intricate, life-saving procedures. In fact, these procedures are becoming so common that we seem to take them for granted – so much so, that we may even forget that in order for one person to have transplant surgery, a suitable donor had to be available, and while more and more people are participating in the organ donor program, there are no guarantees here.

There is no way to ensure the availability of new parts when we need them, therefore, our focus must be on those things we can do to ensure that our parts are as good as they can be – today, and in the future.

Think of this, our bodies are comprised of between 60 and 100 trillion cells. That number makes the national debt seem small, doesn’t it? All of those cells do not live forever. Some live for a few days, others for a few weeks and some for a few years. Even our bone cells die off and are replaced. The reality is that about every 7 years all of our cells have been replaced and we are brand new…but, there is a catch. Adrian Monk, my favorite TV detective, might say, “It’s a blessing…and a curse!”

Our bodies manufacture these new cells from the foods that we eat. Protein is the primary ingredient in cell production. An adequate amount of biologically complete protein is essential. Couple the protein with all the essential, live vitamins and minerals and lots of pure water and we should be producing cells of the same quality as those they are replacing. But what happens if the raw materials we provide our bodies are of lesser quality? Well, quite simply, that’s what aging is all about. The new cells being produced are inferior, sometimes slightly and sometimes to a large extent, to the cells they replace.

OK, I can see the looks on your faces as you read that last line. You’re probably thinking I’m going to tell you that you don’t have to age any more. Well, chronologically speaking, you and I will continue to get older each and every day we are here. And, like all living organisms, we will all, eventually, die. However, as I have mentioned in previous articles, one of my key life goals is, “To die young, as late as possible,” and one way to do that is to improve our cellular health and ensure that those new cells are up to par.

In order to understand how to create healthy new cells, it is important to know what causes our cells to age in the first place. There are four (4) key mechanisms of cellular aging.

1) DNA damage – every day, every cell in your body is bombarded by up to a million DNA damaging assaults which can damage the cell’s genetic database, creating a “typo” that may compromise cell function and longevity.

2) Genetic Regulators – things such as stress, poor diet, environmental toxins and others contribute to age-related cellular deterioration.

3) Declining Cellular Energy Production – Mitochondria in our cells create energy we can’t live without. As mitochondrial efficiency decreases, cell function declines.

4) Accumulation of AGE proteins – Our cells burn glucose to create energy. This and other cellular functions create Advanced Glycation End (AGE) products which can cause cellular damage that can compromise cell integrity and longevity.

Resveratrol, a powerful antioxidant found in red wine, has been shown, in clinical studies, to positively impact all four of these aging processes. Dr. Stephen Chaney of the University of North Carolina has created an excellent CD on this issue and I’d strongly recommend you get your hands on a copy and give it a listen. You can find it on his web site at http://www.socialmarketingconnection.com.

Furthermore, recent clinical studies conducted at the University of Buffalo, have shown that resveratrol, when combined with a patented combination of polyphenols (antioxidants found in Muscadine grapes) is 10X more powerful than resveratrol alone.

What all this means is that simply by adding this combination of antioxidants to your daily regime, you can do your part to fight against cellular aging and enhance your chances to, as I said earlier, die young as late as possible.

OK, ok, I know you’re asking yourself, “Where can I get my hands on this mixture of antioxidants?” Well, all you have to do is go to my web site (www.shaklee.net/jumpeter) and research Vivix. Actually, you’ll even learn how you can get your first order of Vivix for free!

If you follow these simple guidelines and ensure you get adequate, quality protein, supplement with a high quality multivitamin-multimineral, drink plenty of pure water, and add a daily dose of Vivix, you’ll be on your way to ensuring all those cellular replacements are done biologically and not surgically. After all, everything is not replaceable…or is it?

I wish you all a very Merry Christmas, Happy Chanukah and a Prosperous New Year.

As always, if you have any questions or comments, just drop me a note at healthyone@gmail.com.

Cj

Learn more about your benefits,  employment, travel, and financial planning issues on our site and visit our Blog frequently at https://fedretire.net to read all forum articles.

Request a FREE Retirement Benefits Summary Analysis from a local adviser. Includes projected annuity payments, income verses expenses, FEGLI, and TSP projections. A sample analysis is available for your review. This service is not affiliated with www.federalretirement.net

While the publisher and author have used their best efforts in providing wellness and general health information, they make no representations or warranties with respect to the accuracy or completeness of the content of this forum and Website, replies to site visitor questions, or prepared articles, and they specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. Readers are strongly cautioned to consult with a physician or other health-care professional before using any information contained in this forum. No forum can substitute for professional care or advice. Extreme caution is urged when using the information and exercises contained in the articles that are posted on this site. The authors and publisher are not engaged in rendering medical services. If medical problems appear or persist, the reader should consult with a qualified physician or other health-care professional. Accordingly, the authors and publisher expressly disclaim any liability, loss, damage, or injury caused by the contents posted on this health care forum.

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Posted in RETIREMENT CONCERNS, UNCATEGORIZED, WELLNESS / HEALTH

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Orlando Theme Park Resort Vacations

Posted on Monday, 5th December 2011 by

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They are for kids of all ages!

When I was a youngster, the closest thing to a theme park was the local 4-H fair in northern Indiana.  When I was in Junior High we went to the Indiana State Fair, a huge fairground with rides, animals, shows, tractor pulls, and arcade. It was truly awe inspiring and it seemed endless.  It left quite an impression on me, but that all changed when I went to Disney World in 1978!  Wow, Mickey and all his friends. Those were the days of ride tickets, A through E.  Space Mountain was an E ticket, and I believe Peter Pan was too!  In fact an expression emerged.   If you called something an “E ticket”, that meant it was extra special.  You really had to plan your day back then to make sure you made the most of “A through E”!

But that all changed with the creation of Theme Park Resorts.  Disney has several theme parks at Disney World including the Magic Kingdom, Epcot, Animal Kingdom, Hollywood Studios, Typhoon Lagoon, and Blizzard Beach.  The last two are water parks and the kids will love them.  For those of you that are electronically inclined and have a smart phone or iphone you can download a Disney app that shows guide maps, attractions, where the transportation and shopping is, and you can even book a reservation.

Disney World has something for everyone when it comes to rides.  The park includes educational rides where you learn about the environment, foreign countries, how movies are made, see animals from other parts of the world, and much more. You can take advantage of the fast pass with Your Magic Your Way Tickets to avoid the long lines.

After dark there is something special happening no matter what part of Disney World you find yourself.  Fireworks, light parades and lots of music fill the air.  An exciting way to end a day in which you more than likely walked more in one day than you normally do in a week back home.  During the holiday season the Disney streets are lined with beautiful decorations. Mickey’s not so Scary Halloween Party and Mickey’s Very Merry Christmas Party and Holidays Around the World are spectacular attractions and family fun for everyone.

Here’s some information and pointers to assist in planning a vacation whether just for yourselves or a family reunion or vacationing with friends that will hopefully make your trip more enjoyable.

Disney World is probably at the top of everyone’s list of Theme Parks, and if you’re planning to go for 3 or more days you should consider staying at a Disney World Resort.  Buying multiday or daily tickets, even without park hopping, is expensive. Staying at a resort hotel can be very reasonable if you do a cost comparison.  With tax you will pay over $90 for a one day pass and a 5 day ticket is over $50 per day ($61 if you want to add park hopper).  If you stay at a Disney value resort hotel in a standard room, a 5 night stay will cost around $200 a night (for 2 adults) and that includes park admission with park hopper for 6 days.  Moderate resorts cost around $300 a night (for 2 adults) for a 5 night stay which includes park admission and park hopper for 6 days.

Disney World offers economy to luxury hotels for you to choose from.  If you are going with small or young children you may want to consider the economy lodging because you probably won’t be spending a lot of time in the hotel.  However, if you are going with your spouse or partner, you may want to review the amenities of their moderate to luxury lodging.  If you want some down time by the pool in the summer months, you’ll find fewer children crowding the pools at the higher end lodging. If you plan to visit only Disney Parks staying at their resort hotels can reduce your overall vacation costs.  In addition, you won’t need that rental car either because the transportation options around the Disney resort hotels are very convenient and timely.  If your vacation plans take you in the summer time you can easily take a break from the afternoon heat at your hotel and return to the parks to take advantage of the late hours.  There’s nothing like relaxing in the pool for a couple of hours to reenergize and return to the park later.

There are many lodging options to choose from. Lake Buena Vista area hotels offer free shuttle service to the parks as well.  Some of these hotels are in walking distance to Downtown Disney which is a beautiful area with plenty to do. This area offers attractions, shopping and many restaurants to choose from.  Sabrina, one of our Travel Forum readers, stayed at the Holiday Inn in Lake Buena Vista and was close to all the amenities that Disney has to offer.  Priceline had good deals on vacation packages to Orlando for this area which included a free shuttle to all the Parks and the park tickets were added separately.  A trip that was 5 nights 6 days at the Holiday Inn in Lake Buena Vista cost her just $775.00 a person this past September which included a room upgrade, 2 Disney magic your way tickets for 5 days, free shuttle to all the parks, round trip flight and transportation to and from the airport.

If you are someone who has difficulty spending an entire day on your feet, don’t let that stop you from having a great theme park vacation.  You can rent a powered scooter from local Orlando vendors by the day or week.  They will deliver it to your hotel and pick it up at the end of your stay.  You don’t have to be handicapped to do this.  Anyone with arthritis can appreciate a Scooter to avoid overdoing it during a full day at the park.  There are other benefits to renting a scooter as well.  As you leave your resort hotel for a day at the park you will be first on the bus to the parks.  In addition you will be able to avoid some lines for rides as several rides have a separate entrance for wheelchairs and scooters.  At the end of your day you won’t be tired from walking all day and standing in line.  Keep this in mind no matter what parks you are visiting, even if you aren’t staying at a theme park resort that provides transportation.  Some scooters are compact enough to fold into your trunk allowing you to use them any place you plan to go in Orlando.

Sign up for Disney email to find out about special offers.  They have been offering their meal package at no additional cost recently.  This will save you big!

Epcot is another fantastic theme park to consider. It has educational rides, interactive movie theaters, rides and visit all the different countries of the world in this unique park.  It has excellent restaurants but make sure you make a reservation ahead of time. Plan to do a lot of walking or make sure you rent a scooter for this day in particular.  Some of the great attractions are Captain Eo, Innoventions, Circle of life, Ellen’s Energy Adventure, Spaceship Earth, Mission Space and of course the different Countries to visit.  Experience the many different cultures all in one park which includes, China, Japan, France, Germany, Canada, United Kingdom, Italy, Norway, and the United States.

The Universal Theme Parks in Orlando can be fun but the rides at the Adventures Theme Park are heavy on roller coasters, so if that’s not your favorite there are very few rides you will want to go on.  However, if you are a Harry Potter fan, you do not want to miss a visit to Hogwarts and Hogsmeade at the Adventures Theme Park.  You’ll feel like a Hogwarts student going to find the perfect wand at Olivanders or your favorite treat at Honeydukes.  Even if you aren’t a Harry Potter fan, be sure to try some Butterbeer.  I preferred the frozen variety, complete with the creamy topping.  It’s a sweet frozen treat to cool off on a warm Florida day.

The Universal Theme Park also gives you a chance to experience a Twister or escape Jaws.  You’ll see many of your favorite Universal stars from Lucy to the Professor from Back to the Future.  You can enjoy lunch at Mel’s Diner and have fun looking at the cars from American Graffiti.  The Horror Makeup and stunt shows are also fun and entertaining.

The Animal Kingdom is a great addition to the Disney Theme parks as well. There is 1700 Animals from 250 Species found on 500 acres of beautiful landscapes.  It feels like you are walking through the actual jungle.  The Safari ride was a site to see with African animals including lions, elephants, flamingos, giraffe’s, warthogs, crocodiles, hippos and much more.  This park is beautiful in all respects and the scenery is truly worth seeing.

Scooter Rental sites, starting @ $150 for a week, and $25 a day:

http://www.scootarama.com/

Scooter Vacations


http://www.buenavistascooters.com/
http://www.scootaround.com/rentals/o/orlando/

Disney World Resorts, including Special Offer link:

http://disneyworld.disney.go.com/
http://disneyworld.disney.go.com/special-offers/

Universal Theme Park Resort Link:

http://www.universalorlando.com/

http://themeparks.universalstudios.com/index.php

SeaWorld Theme Park Link:

http://seaworldparks.com/en/seaworld-orlando

Learn more about your benefits,  employment, travel, and financial planning issues on our site and visit our Blog frequently at https://fedretire.net to read all forum articles.

Request a FREE Retirement Benefits Summary Analysis from a local adviser. Includes projected annuity payments, income verses expenses, FEGLI, and TSP projections. A sample analysis is available for your review. This service is not affiliated with www.federalretirement.net

Visit our other informative sites

Helpful Retirement Planning Tools
Distribute these FREE tools to others that are planning their retirement

The information provided may not cover all aspect of unique or special circumstances. Travel policies and packages are subject to change without notice. To ensure the accuracy of this information, contact travel providers and hotels at the time of your bookings to confirm pricing, itinerary, and all costs. The comments and observations are limited to the author’s personal experience and your results may vary significantly. This article and replies to comments are not intended to substitute for professional travel services. Our reply is time sensitive. Over time, various dynamic economic factors relied upon as a basis for this article may change.

Posted in RETIREMENT CONCERNS, Travel, UNCATEGORIZED

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Treasury Direct Logon Help plus FEHB & Jobs Updates

Posted on Thursday, 1st December 2011 by

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I received an email from Treasury Direct last month informing participants about security upgrades at their site. After you register under the new system you no longer need an access card to log into your account. It went on to say that you will receive an e-mail containing a one-time pass code and the opportunity to register your computer and select a personalized image when you sign on the next time.

I started the new sign on process at 9 am and after a dozen, YES a dozen, attempts to access my Treasury Direct account and 2 hours later I had to call their technical support line at 304-480-7711.  I was prompted to leave my name and phone number due to excessive call volume. After several attempts later in the day a customer service representative answered.

The problem is that the new registration instructions are difficult if not impossible to follow. Here are clarifications and guidance that may help you reestablish access to your account and avoid my mistakes.

When you first attempt to logon at www.treasurydirect.gov you are prompted to enter a one-time pass code that is automatically sent to your registered email address when you visit this page. You must retrieve this email and enter the code on the site. This code is case sensitive and you must enter it exactly as listed using upper and lower case characters. You may also want to check the box next to “Remember This Computer” so next time that you log on from this computer your login will be easier.

When you click on submit you are asked to enter you account number. You don’t have to include the dashes, just the numbers and letters. When you click on submit you will be taken to the “Access Your Account” page and this is where I ran into problems. This page has the virtual keyboard and the password is not case sensitive. I thought I was suppose to enter the temporary pass code and each time I submitted the new pass code I was taken to a questions page where I was asked for replies to the 3 questions I originally set up when I opened the account. If you don’t remember which of the 7 listed questions you originally submitted you are instructed to answer all of the questions. Fortunately, I wrote these questions and answers down when I first registered. After submitting the answers you are taken back to a new temporary pass code page and you end up going around in circles.

The Treasury doesn’t provide a step-by-step process with clarifications for the upgraded security registration. What you need to enter on the virtual keyboard is your original password, not the temporary pass code that was sent to you via email earlier. I tried this so many times that I was locked out and had to request a new password on this page before I could proceed.

If you get into the same loop simply click on “Forget your Password?” on the virtual keyboard page. Then be sure to use your original pass word not the temporary pass code that will be sent when you go back to register again. Another problem is that I had generated so many temporary pass codes that it caused issues so what I suggest is when you first go back to log on you will be taken to the Access Your Account page. Click on the prompt at the bottom of the page that says “Click on the following link if you need to request another pass code. Clicking on the link cancels all previous pass codes.” Then retrieve this new pass code from you email before proceeding.

My article several weeks ago talked about “The Savings Dilemma and Higher Yielding Savings Options” I wrote about the many problems and issues that I discovered with the Treasury Direct program. I actually called and wrote my Congressman with the hope that he will submit legislation to restore paper savings bonds and provide official account monthly and quarterly statements. It seems that the Treasury is exempt from providing customary and essential account statements that are mandatory at all non-government banking and brokerage services. More to come.

FEHB Updates

Open Season ends December 12th.  Have you determined how much the cost of Federal Health Benefits will be changing this year?  The employee/retirement portion of one health plan is increasing by $446.16 per month for 2012!

If you do not make the change during open season, you may not be able to change health plans until 2013.  Don’t let an increased cost in health insurance be an unfortunate surprise that adversely affects your finances. Luckily, it is easy to verify the cost of the FEHB insurance for 2012.  For a quick check of the cost changes for FEHB review OPM’s Premium Rates for the Federal Employees.

In addition, in an effort to be more “green,” paper copies of health plan brochures will not be automatically mailed to Federal Employees Health Benefits (FEHB) Program members this open season.  This is the first year of this change.

Retiree Job Lists

We continue to post jobs from employers nationwide that are looking for retired federal employees. Many retirees supplement their retirement income with full or part time work and our Jobs Board continues to grow. Here are several new job listings that you may find interesting:

New job listings this week offer attractive resort positions with great benefits and pay. Visit our Jobs Board and check out thousands of opening at Vail Resorts in Colorado, Utah and California, Kay Jewelers, Jared, the Galleria of Jewelry and other Jewelers nationwide, and sales and corporate positions with Gamestop.

Learn more about your benefits,  employment, travel, and financial planning issues on our site and visit our Blog frequently at https://fedretire.net to read all forum articles.

Request a Retirement Benefits Summary Analysis from a local adviser. Includes projected annuity payments, income verses expenses, FEGLI, and TSP projections. A sample analysis is available for your review. This service is not affiliated with www.federalretirement.net

Visit our other informative sites

Helpful Retirement Planning Tools
Distribute these FREE tools to others that are planning their retirement

The information provided may not cover all aspect of unique or special circumstances, federal regulations, and financial information is subject to change. To ensure the accuracy of this information, contact your benefits coordinator and ask them to review your official personnel file and circumstances concerning this issue. Retirees can contact the OPM retirement center. Our articles are not intended nor should they be considered investment advice. Our reply is time sensitive. Over time, various dynamic economic factors relied upon as a basis for this article may change.

Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, EMPLOYMENT OPTIONS, ESTATE PLANNING, FINANCE / TIP, RETIREMENT CONCERNS

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FEHB Open Season Brochures & Updates

Posted on Saturday, 26th November 2011 by

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Rosemary, a subscriber to our Retirement Planning News Letter, asked for clarification for requesting FEHB open season plan brochures on OPM’s new web site. I mentioned that the web site was easy to use in my article on the FEHB Open Season last week. She visited the site and was confused by the numbers that are used to identify the various plans in her area.

To determine what your plan’s codes are, the 2 digit codes in front of the plan name, print out the “Open Season Health Benefits Guide” for your area that is provided on OPM’s site. The first two digits of each plan’s 3 digit code, as listed in this guide, are the numbers you need to identify the correct plan to request online.

Go to https://retireefehb.opm.gov/, register, and then click on the “Open Seasons Federal benefit Guide” link on the left side of the page in the white space. Select your state and then print out the 6 page brochure. This guide lists available plans with comparisons for your location. All plans for your area are listed with a three digit code. The first two digits of each plan are used to identify the plan number for the brochures you select to have sent to you.

I found the site and process to request brochures by mail easy to use. Retirees can order plan brochures for their area using the following procedure:

1)      Go to https://retireefehb.opm.gov/ (Register if you haven’t already)

2)      Download and review your “Open Season Health Benefits Guide”

3)      Click on “Brochures” on the upper left side of the home page in blue

4)      Click on “Mail Brochures” on the lower right bottom of this page

5)      Select your state from the drop down list

6)      Identify plan brochures (The first 2 of the 3 numbers for each plan listed in the Open Season Benefits Guide are used to order plans)

You can also view and print out copies online at this site if you prefer. Review my FEHB Open Season article and our site’s FEHB Guide for more information on this subject.

UPDATES:

1) OPM Retirement Processing Backlog (Update)

OPM is working to resolve the backlog problem. John Berry, the OPM Director, recently told Congress that 60,000 retirement applications are currently in process up from 38,000 last October. The backlog continues to grow as over 9,600 new retirement cases are added each month. OPM can only process 7,700 cases a month with current staffing levels. The backlog is expected to more than double by 2014.

OPM claims examiners are processing 3.5 cases a day on average and the average time to process a retirement start to finish is about 133 days.

The good news is that OPM has hired 35 new claims examiners and plans hiring 40 more in the near future. The committee suggested possibly rehiring retirees to help with the workload. This problem could get much worse as agencies offer VERA early outs to address their budget shortfalls. There are things that you can do to help avoid problems with your retirement. Follow the steps that I outlined in my article titled “Could You Survive on Interim Retirement Checks” when submitting your retirement paperwork.

2) Requesting a Letter From the President for Retirees

The process changed and the new guidance including format and routing information is now available online. We also updated the information for requesting flags and retiree gifts such as agency logo mugs and other presentations.

3) FREE Copies of Take Charge of Your Federal Career

Receive a FREE copy of Take Charge of Your Federal Career (a $29.95 value) when federal employees order my new Federal Resume Guide and only pay an additional $4.95 handling charge + shipping. Limited to 1 Free Copy per Order. Take Charge of Your Federal Career helps employees in mid career to within 5 years of retirement target higher paying jobs to increase their retirement annuity and TSP savings.

Learn more about your benefits,  employment, travel, and financial planning issues on our site and visit our Blog frequently at https://fedretire.net to read all forum articles.

Request a FREE Retirement Benefits Summary Analysis from a local adviser. Includes projected annuity payments, income verses expenses, FEGLI, and TSP projections. A sample analysis is available for your review. This service is not affiliated with www.federalretirement.net

Visit our other informative sites

Helpful Retirement Planning Tools
Distribute these FREE tools to others that are planning their retirement

The information provided may not cover all aspect of unique or special circumstances, federal regulations, and financial information is subject to change. To ensure the accuracy of this information, contact your benefits coordinator and ask them to review your official personnel file and circumstances concerning this issue. Retirees can contact the OPM retirement center. Our articles are not intended nor should they be considered investment advice. Our reply is time sensitive. Over time, various dynamic economic factors relied upon as a basis for this article may change.

Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, FINANCE / TIP, RETIREMENT CONCERNS, SURVIVOR INFORMATION

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Budget Cuts, VERAs, FEHB Open Season & Retiree Jobs

Posted on Friday, 18th November 2011 by

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The Office of Personnel Management expects a number of agencies to request VERA and VSIP authority in FY 2012 after appropriations are finalized.  Agencies may face substantial budget cuts next year according to the OPM director. OPM is expediting requests for VSIP and early-outs and formed a special team to assist agencies with their requests. They hope to provide expedited approvals using this new process and some requests have been approved in just two days.

President Obama also signed an Executive Order cutting agency spending in the following areas:

1) Reduce Spending on Travel and Conferences: The Executive Order directs agencies to decrease travel and conference-related spending.

2) Cut Duplicative and Unnecessary Employee Information Technology Devices. This order limits the number of devices issued to employees and establishes new policies to ensure they are not paying for IT equipment that isn’t being used.

3) End Unnecessary Printing and Post It Online.

4) Limit Motor Vehicles: The Executive Order limits executive transportation across the federal government and directs agencies to improve the performance of the Federal fleet.

5) Stop Government Promotional Handouts.  Agencies are directed to stop wasting taxpayer money on non-essential items used for promotional purposes, such as clothing, mugs, and non-work related gadgets.

  • NOTE: Most spending for retiree gifts is from employee contributions, not government spending.

If you are offered a VERA or simply planning on a regular retirement in 2012 use our FREE excel leave chart to set several target retirement dates. Use this chart to determine exact leave balances for all target dates.

FEHB Open Season Help

Open season runs from November 14th through December 12th this year. In the past, many retirees found it difficult obtaining plan brochures during open season. Recently, OPM implemented a new service for retirees that has dramatically improved the availability of FEHB plan information and now allows retirees to manage their changes and enrollments online.  I visited their new site at https://retireefehb.opm.gov to register and request plan brochures for my area on November 4, 2011 and received the requested material within the week.  This new service allows you to enroll, change, or reenroll in plans, view your transaction history, order hard copies of plan brochures, and download forms, letters and plan information. I found the site easy to use and very helpful.

One of our site visitors recently asked a question that many retirees face after leaving federal service.  Beverly is working in retirement and her new employer offers health care coverage.  She was thinking of canceling her FEHB coverage and wanted to know if she could restart it when she leaves the job she has now.

If you cancel your FEHB enrollment as an annuitant, you will never be able to reenroll in FEHB.  There are no exceptions for other employment insurance.  However, there is an exception if you suspend your FEHB enrollment because you are now covered by a Medicare Advantage plan, TRICARE, CHAMPVA, Medicaid or a similar State-sponsored medical assistance program, or Peace Corps Volunteer coverage, you can restart your FEHB in the future.

One of the main reasons for evaluating your current plan annually is to ensure that your doctors are members of that plan’s physician network.  In the Pittsburgh area Highmark Blue Cross Blue Shield and UPMC haven’t signed a new participation agreement and if they don’t come to terms UPMC physicians may not be available to Blue Cross and Blue Shield plan basic option participants.  I called Blue cross customer service and they assured me that UPMC physicians would be considered participating physicians through 2012. However, I still want to research this further before open season ends.

Employees planning to retire need to be aware of these cautionary notes concerning FEHB spousal coverage in retirement.  An annuitant can add their spouse to their FEHB plan without having a survivor benefit.  However, if the annuitant dies first, the surviving spouse can only continue the FEHB coverage if the annuitant elected a survivor annuity when they retired.  Another thing to consider: if the annuitant has self-only coverage and dies before the spouse, the spouse cannot continue FEHB coverage either.  For the spouse to continue FEHB coverage after you die there must be a spousal annuity payment and family coverage.  When the annuitant who elected a survival benefit and had family coverage dies, the surviving spouse’s FEHB premiums will drop dramatically as soon as they elect “Self Only” coverage.  There are different rules for FERS and CSRS survivor benefit elections that support FEHB coverage. Review them carefully to ensure your spouse will have the coverage desired.

Jobs For Retirees

We continue to post jobs from employers nationwide that are looking for retired federal employees. Many retirees supplement their retirement income with full or part time work and our Jobs Board continues to grow. Here are two of the new job listings that you may find interesting:

  • Coupon Merchandiser – Permanent part-time job installing and maintaining coupon machines, floor ads and other on-shelf advertising signs in local grocery stores, drug stores and mass merchants.  Duties also include all merchandising jobs within your territory.  Territory includes Old Saybrook, Waterford and New London, CT.
  • Senior Security Technician – Nationwide (Multiple Positions). Technicians perform part-time, corrective maintenance on security equipment at federal facilities. Equipment includes access control, surveillance, intrusion detection, security intercom, and access video systems; metal detectors; and security barrier arms and gates.

Learn more about your benefits,  employment, travel, and financial planning issues on our site and visit our Blog frequently at https://fedretire.net to read all forum articles.

Request a Retirement Benefits Summary Analysis from a local adviser. Includes projected annuity payments, income verses expenses, FEGLI, and TSP projections. A sample analysis is available for your review. This service is not affiliated with www.federalretirement.net

Visit our other informative sites

Helpful Retirement Planning Tools
Distribute these FREE tools to others that are planning their retirement

The information provided may not cover all aspect of unique or special circumstances, federal regulations, and financial information is subject to change. To ensure the accuracy of this information, contact your benefits coordinator and ask them to review your official personnel file and circumstances concerning this issue. Retirees can contact the OPM retirement center. Our articles are not intended nor should they be considered investment advice. Our reply is time sensitive. Over time, various dynamic economic factors relied upon as a basis for this article may change.

Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, RETIREMENT CONCERNS, SURVIVOR INFORMATION

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Could You Survive on Interim Retirement Check Payments?

Posted on Saturday, 12th November 2011 by

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We continue to receive horror stories from retirees waiting up to a year or more for OPM to process their retirement paperwork. It is a real problem even for those who thought they prepared knowing that delays were inevitable. David wrote us in early November stating that he retired September 30, 2010 and as of November 2, 2011 he was still receiving partial interim payments. The only paperwork that he received came on October 31, 2011. One of the documents was FEGLI life insurance form 2819 which stated that his FEGLI insurance was terminated from the date of his retirement; an election he did not make.

David expected delays and thought he had prepared financially. He put away sufficient funds to cover six months expenses to give OPM the time he thought they needed to process his paperwork. This is causing a considerable hardship for his entire family and he needed guidance on how to proceed. Retirement processing delays and errors could get much worse as agencies offer Voluntary Early Retirement Authority (VERA) incentives across the country.

Many Departments still don’t have a budget and there are rumors of cuts in many agencies, some estimate cuts of between 15-27 percent coming this year or next. Typically agencies plan for a 5 percent attrition rate not counting those who accept a VERA. VERAs could be as high as 10% or more of total staffing for some agencies especially if Voluntary Separation Incentive Payments (VSIPs) are offered. Agencies are calling these actions “Reduction in Force (RIF) abatement measures.”  RIFs are historically difficult to manage and agencies avoid them if at all possible.

If a VERA with VSIP incentive is offered, agency retirement counselors and OPM will be swamped with applications; delays are inevitable. For example, an agency that typically processes 2000 retirements a year now has to process 4000 retirements in a 2-4 week VSIP period; it would be chaotic for the retirement counselors to say the least. Each retirement counselor suddenly has 150-200 retirement actions to process in two pay periods. Can you imagine one person counseling and reviewing retirement options for 200 people in a month, the potential processing delays, and the errors that will result from this mad rush?

What Can Be Done?

This delay is unacceptable by any measure. OPM has acknowledged processing delay problems in a memo they posted online.  This document doesn’t provide immediate relief, it simply explains the many reasons for delays without providing any contact information for extreme cases.  I wrote an article titled Interim Retirement Check Issues last April that you may find helpful.  Here are a few things to consider when you are planning to retire:

  • Review What to Do starting a Year Before I Retire and complete the needed actions.
  • Thoroughly complete and review your retirement forms. OPM reported that 23 percent of all claims received are missing one or more records and 11 percent are not received during the first 30 days.
  • Send in your paperwork, if at all possible, 3 to 6 months in advance of your planned departure date. This isn’t possible with VERAs because they typically have a much shorter window of opportunity to apply. (Keep a complete copy of your application for reference)
  • Thoroughly review the package that your personnel office sends you for review. Check your SCD date, military time, and other pertinent data and make needed corrections.
  • Review What to Expect the First Three Months After I Leave.  If anticipated actions in this normal time line don’t correlate with your situation contact your personnel office and OPM immediately. This step can keep your personnel office and OPM on track.
  • Set aside sufficient funds, six months minimum, for bills and emergencies and have other savings and investments that you can tap if processing delays are extreme like in this case. Read How to Be Financially Prepared When You Retire.
  • If you have a divorce decree make sure OPM received a copy at the time of the divorce. Visit our Divorce Forum For more information on this issue. An improperly processed divorce decree can dramatically decrease interim and full annuity payments.
  • To contact OPM about your retirement payments before you receive your claim number, contact your former payroll office first for the date your records were transferred to OPM. Your payroll office should provide you with the number and date of the Register of Separations and Transfers. You will also need your Payroll Identification Number.

In extreme cases, where you can’t get satisfaction through OPM or your benefits office, call or write your Congressman or Senator for assistance.  Their staff can assist you with problems like this and they can expedite a resolution.  If you can’t get a timely resolution call them for assistance.

Learn more about your benefits,  employment, travel, and financial planning issues on our site and visit our Blog frequently at https://fedretire.net to read all forum articles.

Request a Retirement Benefits Summary Analysis from a local adviser. Includes projected annuity payments, income verses expenses, FEGLI, and TSP projections. A sample analysis is available for your review. This service is not affiliated with www.federalretirement.net

Visit our other informative sites

The information provided may not cover all aspect of unique or special circumstances, federal regulations, and financial information is subject to change. To ensure the accuracy of this information, contact your benefits coordinator and ask them to review your official personnel file and circumstances concerning this issue. Retirees can contact the OPM retirement center. Our articles are not intended nor should they be considered investment advice. Our reply is time sensitive. Over time, various dynamic economic factors relied upon as a basis for this article may change.

Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, FINANCE / TIP, RETIREMENT CONCERNS, SURVIVOR INFORMATION

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