Money Pilot Financial Advisor Podcast

Today we’re talking about the Social Security Normal Retirement Age, also called the Full Retirement Age, which is between ages 65 and 67 depending on the year you were born. When you begin drawing Social Security retirement benefits, the amount you will received each month will depend on whether you start before your normal retirement age, at that age, or after.  If you were born before 1937 your Normal Retirement Age is 65. If you were born in 1960 or later, your Normal Retirement Age is age 67. Everybody else, yours is in-between age 65 and 67. Check out your exact Normal Retirement Age in years and months on the Social Security website https://www.ssa.gov/oact/progdata/nra.html.

I highly recommend you go to the Social Security website if you haven’t already, and establish an account. https://www.ssa.gov/site/signin/en/ You’ve been earning Social Security credits based on your earnings record. Your employers have been withholding Social Security and Medical taxes from your pay and reporting to Social Security what they paid you each year. You want to be sure these earnings records are accurate. Your retirement benefit will be based on your highest 35 years of income, so every year is important.  Log into ssa.gov once a year and compare what earnings they recorded for last year with your tax documents to and make sure it’s accurate, or correct any mistakes. The website will also give you estimates of future payments. Find out how much you would qualify for if you become disabled, what your family members would receive if you die, and what your Social Security retirement benefits would be.

Your Normal Retirement Age. is the age you can start receiving your full Social Security retirement benefit. The formula used to compute it is very complicated, but its’s easy to see the amount when you log into your account. Everyone eligible can apply and begin receiving benefits anytime from age 62 to age 70. But if you start early you receive less each month. Start later and you receive more.  As an example, if you were born in 1990. Your Normal or Full Retirement Age is 67. You want to begin receiving Social Security retirement benefits at age 62. That’s 5 years early, so your monthly benefit would be reduced by 30%. If you full retirement benefit is $2,000 a month, you would receive only $1,400 a month if you start at age 62. You could choose any age between 62 and 67. But the earlier you begin benefits, the lower the payments.

For each year you delay benefits after your full retirement age up to age 70, your benefit will increase by 8% year. That’s huge. In our example. For someone with a full retirement benefit of $2,000 a month, if you delay receiving benefits until you’re age 70, your payment will be $2,480 a month. Looking at the yearly amounts, you could retire with $16,800 a year at 62, $24,000 a year at 67, or $29,760 starting at age 70. 

How do you decide when to start drawing benefits? It depends on your situation. Will you have enough resources to live on while you delay? Delaying is a low risk way of getting a higher benefit. How long will you live? Just from a numbers perspective, the longer you live the better off you are delaying benefits. One of the biggest concerns when planning for retirements is making sure you don’t run out of money before you run out of life. Delaying drawing Social Security can help prevent that. If your health is poor and  and you think you will die younger than average, it may be better for you to start benefits earlier. Taxes can also impact your decision. Your Social Security benefits are taxed when you other taxable income crosses certain thresholds.

Today we’re talking about the Social Security Normal Retirement Age, also called the Full Retirement Age, which is between ages 65 and 67 depending on the year you were born. When you begin drawing Social Security retirement benefits, the amount you will received each month will depend on whether you start before your normal retirement age, at that age, or after.  If you were born before 1937 your Normal Retirement Age is 65. If you were born in 1960 or later, your Normal Retirement Age is age 67. Everybody else, yours is in-between age 65 and 67. Check out your exact Normal Retirement Age in years and months on the Social Security website https://www.ssa.gov/oact/progdata/nra.html.

I highly recommend you go to the Social Security website if you haven’t already, and establish an account. https://www.ssa.gov/site/signin/en/ You’ve been earning Social Security credits based on your earnings record. Your employers have been withholding Social Security and Medical taxes from your pay and reporting to Social Security what they paid you each year. You want to be sure these earnings records are accurate. Your retirement benefit will be based on your highest 35 years of income, so every year is important.  Log into ssa.gov once a year and compare what earnings they recorded for last year with your tax documents to and make sure it’s accurate, or correct any mistakes. The website will also give you estimates of future payments. Find out how much you would qualify for if you become disabled, what your family members would receive if you die, and what your Social Security retirement benefits would be.

Your Normal Retirement Age. is the age you can start receiving your full Social Security retirement benefit. The formula used to compute it is very complicated, but its’s easy to see the amount when you log into your account. Everyone eligible can apply and begin receiving benefits anytime from age 62 to age 70. But if you start early you receive less each month. Start later and you receive more.  As an example, if you were born in 1990. Your Normal or Full Retirement Age is 67. You want to begin receiving Social Security retirement benefits at age 62. That’s 5 years early, so your monthly benefit would be reduced by 30%. If you full retirement benefit is $2,000 a month, you would receive only $1,400 a month if you start at age 62. You could choose any age between 62 and 67. But the earlier you begin benefits, the lower the payments.

For each year you delay benefits after your full retirement age up to age 70, your benefit will increase by 8% year. That’s huge. In our example. For someone with a full retirement benefit of $2,000 a month, if you delay receiving benefits until you’re age 70, your payment will be $2,480 a month. Looking at the yearly amounts, you could retire with $16,800 a year at 62, $24,000 a year at 67, or $29,760 starting at age 70. 

How do you decide when to start drawing benefits? It depends on your situation. Will you have enough resources to live on while you delay? Delaying is a low risk way of getting a higher benefit. How long will you live? Just from a numbers perspective, the longer you live the better off you are delaying benefits. One of the biggest concerns when planning for retirements is making sure you don’t run out of money before you run out of life. Delaying drawing Social Security can help prevent that. If your health is poor and  and you think you will die younger than average, it may be better for you to start benefits earlier. Taxes can also impact your decision. Your Social Security benefits are taxed when you other taxable income crosses certain thresholds.

At age 65  Americans are eligible for Medicare and most  must enroll Medicare Part B or face a stiff premium penalty. You can delay enrolling in Part B if you or your spouse are working and covered by a workplace group health plan with 20 or more employees. In that case, you would need to enroll in Medicare Part B within 8 months of stopping work or losing your workplace health coverage, which ever is sooner in order to avoid penalty.  The penalty is 10% increase in premiums for every 12 months you delay, for the rest of you life.

If you are a federal employee  you can carry your  Federal Employee Health Benefit (FEHB)  into retirement and are not required to sign up for Medicare.  You can  keep FEHB and sign up for Medicare for more complete coverage. There are pros and cons to to the different strategies. But it’s beyond today’s discussion. 

f you are a military retiree and federal government employee you have the option of using FEHB or Tricare for Life when reach age 65. Listen to my Episode 5 for pros and cons if it applies to you. https://www.buzzsprout.com/934996/4770596

The main reason I’m focussing on military Tricare for Life is that it often catches retired military off guard. It’s like a Medicare/Tricare shotgun wedding. Also know as wrap around coverage. Key points:

1. The Tricare plan you have now ends at 65, period.
2. You are required to enroll in Medicare Parts A and B, if you want continued Tricare health insurance. (Which you should.
3. Medicare Part A is free. Medicare Part B will cost you. The standard Part B premium is $148.50 a month. This fee is based on your annual income and is higher after certain tresholds. This is allot more than the Tricare Standard or Prime  yearly fees  You won’t have any  yearly fees to pay to Tricare under Tricare for Life, but will pay premiums to Medicare for Part B. 
4. But it’s unfair to only compare annual fees and premiums. Tricare for Life is wrap around insurance. What that means is that Mediare and Tricare for Life work together to pay for your healthcare. Medicare pays first. What they don’t cover automatically gets passed to Tricare. Some things Medicare doesn’t cover, but Tricare for Life does. And visa versa. There are a few things neither Medicare or Tricare cover, but nearly every thing is paid for between the two with no copay or cost share. With Tricare for Life, there are no copays or cost shares that you have with regular Tricare.
5. Also Tricare for Life covers you overseas. Medicare does not pay outside of the US and some territories. So if you will be living outside the US part or all of the time, Tricare for Life has you covered as the primary payer.
6. Eligible family members stay on Tricare Standard or Prime until age 65 when they must sign up for Medicare Part A and B themselves and switch to Tricare for Life.
7. Be careful when using Tricare for Life and Veterans Affairs health providers for non-service related care. Because VA providers are not allowed to bill Medicare, you can’t be reimbursed through Tricare for Life for any care from a VA provider, you’d pay for any VA expenses out of pocket.

Great resources and details can be found on the Tricare and Medicare websites, as well as my Episode 5 podcast.

All about Tricare for Life:  https://tricare.mil/tfl

Medicare basics and signing up:

https://www.medicare.gov/basics/get-started-with-medicare

Medicare Part B premiums:

https://www.medicare.gov/your-medicare-costs/part-b-costs

At age 65  Americans are eligible for Medicare and most  must enroll Medicare Part B or face a stiff premium penalty. You can delay enrolling in Part B if you or your spouse are working and covered by a workplace group health plan with 20 or more employees. In that case, you would need to enroll in Medicare Part B within 8 months of stopping work or losing your workplace health coverage, which ever is sooner in order to avoid penalty.  The penalty is 10% increase in premiums for every 12 months you delay, for the rest of you life.

If you are a federal employee  you can carry your  Federal Employee Health Benefit (FEHB)  into retirement and are not required to sign up for Medicare.  You can  keep FEHB and sign up for Medicare for more complete coverage. There are pros and cons to to the different strategies. But it’s beyond today’s discussion. 

f you are a military retiree and federal government employee you have the option of using FEHB or Tricare for Life when reach age 65. Listen to my Episode 5 for pros and cons if it applies to you. https://www.buzzsprout.com/934996/4770596

The main reason I’m focussing on military Tricare for Life is that it often catches retired military off guard. It’s like a Medicare/Tricare shotgun wedding. Also know as wrap around coverage. Key points:

1. The Tricare plan you have now ends at 65, period.
2. You are required to enroll in Medicare Parts A and B, if you want continued Tricare health insurance. (Which you should.
3. Medicare Part A is free. Medicare Part B will cost you. The standard Part B premium is $148.50 a month. This fee is based on your annual income and is higher after certain tresholds. This is allot more than the Tricare Standard or Prime  yearly fees  You won’t have any  yearly fees to pay to Tricare under Tricare for Life, but will pay premiums to Medicare for Part B. 
4. But it’s unfair to only compare annual fees and premiums. Tricare for Life is wrap around insurance. What that means is that Mediare and Tricare for Life work together to pay for your healthcare. Medicare pays first. What they don’t cover automatically gets passed to Tricare. Some things Medicare doesn’t cover, but Tricare for Life does. And visa versa. There are a few things neither Medicare or Tricare cover, but nearly every thing is paid for between the two with no copay or cost share. With Tricare for Life, there are no copays or cost shares that you have with regular Tricare.
5. Also Tricare for Life covers you overseas. Medicare does not pay outside of the US and some territories. So if you will be living outside the US part or all of the time, Tricare for Life has you covered as the primary payer.
6. Eligible family members stay on Tricare Standard or Prime until age 65 when they must sign up for Medicare Part A and B themselves and switch to Tricare for Life.
7. Be careful when using Tricare for Life and Veterans Affairs health providers for non-service related care. Because VA providers are not allowed to bill Medicare, you can’t be reimbursed through Tricare for Life for any care from a VA provider, you’d pay for any VA expenses out of pocket.

Great resources and details can be found on the Tricare and Medicare websites, as well as my Episode 5 podcast.

All about Tricare for Life:  https://tricare.mil/tfl

Medicare basics and signing up:

https://www.medicare.gov/basics/get-started-with-medicare

Medicare Part B premiums:

https://www.medicare.gov/your-medicare-costs/part-b-costs

By the time you hear this broadcast, I should be on a vacation adventure with my husband Rob in Yosemite National Park. I love visiting new places and it seems like a lifetime since we’ve taken a big trip. So I thought I take a few minutes to talk about saving for a bucket list vacation. Since I’m a financial planner, It shouldn’t be a big surprise that I recommend you start your trip with planning.

 The first step is to decide what kind of trip you want to take, and think about what it is about the trip that will make it special for you, and what won’t.  Is your dream to lay in the sun on the sand and listen to the waves, then going during hurricane season may literally rain on your parade. Want to visit a famous amusement park? Standing in line all day in the summer heat and humidity may be unbearable for you or make the kids cranky.

 Next, figure out how much your vacation will cost. Remember transportation like airfare and rental car or road trip gasoline, hotels or other lodging, food, and entrance, show tickets, tours… Break it out in detail with numbers and add it up for a total trip cost.

 Then decide how you will pay for it. If you already have enough money set aside for your trip, you're golden. But I DON’T recommend you go in debt for entertainment or vacations. A better way is to save first, then spend. Studies actually show that we get as much enjoyment thinking about and anticipating something as we do actually doing it. So dream, plan, save, go.

 Let’s say you decide you want a weeklong beach vacation with your spouse and two children. You’ve done some checking online and see a beachside hotel is $250 a night, airline flights $1,000,  hotel 150 a day, and  $100 a day on souvenirs and  activitieshat's $4,250.

If you save $150 a month you  go on your dream vacation in 2 years and 4 months.  Not happy with that? Think back what about your vacation that makes it a dream for you. And what isn’t that big a deal. Let’s say you really love to build sand castles with the kids. But you all just dash in and out of the water. Consider going in the off season when everything is cheaper and the  water is cooler. 

Kids dragging sand in everywhere sound more like work than vacation? Try a cheaper hotel off the beach with a pool and walk to the beach if you want. Or have the vacation exact vacation you dreamed, but for 4 days. Or drive to save the airfare. 

 These kinds of tough choices often come up in all areas of life. I like to say you can have anything you want, just not everything. What’s most important to you? Length of time away ? A particular season or year?  Special activity? Specific location?

 Want to go sooner? Maybe you can save more money now by cutting other regular expenses for a while, or find some ways to earn extra money. I can remember when I was young my parents said the family could go on a vacation to Florida. But my brothers and I would have to save the gas money which was going to be $100. We did odd jobs and skipped desert at school to make it happen. Dreaming about the vacation helped motivate us to save and I think we enjoyed it more  having skin in the game.

 And our vacation today? It’s epic. We’ve been planning and saving for a couple of years. We both love the outdoors, so we are splurging on lodging inside three national parks. Got train sleeper car ticketst with points. And haveg a cooler for drinks and food to save on eating out. That’s how we are having our dream, guilt-free vacation.

 What about you? Focus on the what will really make the trip special for you and negotiate on the everything else. Save more, save longer, or find ways to spend less. The go enjoy your vacation! And know when you came home you’ll have all those special memories and none of the debt weighing you down. 

By the time you hear this broadcast, I should be on a vacation adventure with my husband Rob in Yosemite National Park. I love visiting new places and it seems like a lifetime since we’ve taken a big trip. So I thought I take a few minutes to talk about saving for a bucket list vacation. Since I’m a financial planner, It shouldn’t be a big surprise that I recommend you start your trip with planning.

 The first step is to decide what kind of trip you want to take, and think about what it is about the trip that will make it special for you, and what won’t.  Is your dream to lay in the sun on the sand and listen to the waves, then going during hurricane season may literally rain on your parade. Want to visit a famous amusement park? Standing in line all day in the summer heat and humidity may be unbearable for you or make the kids cranky.

 Next, figure out how much your vacation will cost. Remember transportation like airfare and rental car or road trip gasoline, hotels or other lodging, food, and entrance, show tickets, tours… Break it out in detail with numbers and add it up for a total trip cost.

 Then decide how you will pay for it. If you already have enough money set aside for your trip, you're golden. But I DON’T recommend you go in debt for entertainment or vacations. A better way is to save first, then spend. Studies actually show that we get as much enjoyment thinking about and anticipating something as we do actually doing it. So dream, plan, save, go.

 Let’s say you decide you want a weeklong beach vacation with your spouse and two children. You’ve done some checking online and see a beachside hotel is $250 a night, airline flights $1,000,  hotel 150 a day, and  $100 a day on souvenirs and  activitieshat's $4,250.

If you save $150 a month you  go on your dream vacation in 2 years and 4 months.  Not happy with that? Think back what about your vacation that makes it a dream for you. And what isn’t that big a deal. Let’s say you really love to build sand castles with the kids. But you all just dash in and out of the water. Consider going in the off season when everything is cheaper and the  water is cooler. 

Kids dragging sand in everywhere sound more like work than vacation? Try a cheaper hotel off the beach with a pool and walk to the beach if you want. Or have the vacation exact vacation you dreamed, but for 4 days. Or drive to save the airfare. 

 These kinds of tough choices often come up in all areas of life. I like to say you can have anything you want, just not everything. What’s most important to you? Length of time away ? A particular season or year?  Special activity? Specific location?

 Want to go sooner? Maybe you can save more money now by cutting other regular expenses for a while, or find some ways to earn extra money. I can remember when I was young my parents said the family could go on a vacation to Florida. But my brothers and I would have to save the gas money which was going to be $100. We did odd jobs and skipped desert at school to make it happen. Dreaming about the vacation helped motivate us to save and I think we enjoyed it more  having skin in the game.

 And our vacation today? It’s epic. We’ve been planning and saving for a couple of years. We both love the outdoors, so we are splurging on lodging inside three national parks. Got train sleeper car ticketst with points. And haveg a cooler for drinks and food to save on eating out. That’s how we are having our dream, guilt-free vacation.

 What about you? Focus on the what will really make the trip special for you and negotiate on the everything else. Save more, save longer, or find ways to spend less. The go enjoy your vacation! And know when you came home you’ll have all those special memories and none of the debt weighing you down. 

Today we’re going to talk about Cryptocurrencand I’ll try to cut through some of the hype. If your new to crypto, check out Investopedia’s cryptocurrency page. https://www.investopedia.com/cryptocurrency-4427699 

Cryptocurrencies are systems that allow for secure payments online directly between individuals without  middlemen. Cryptocurrencies use virtual tokens which are created, called mining, on a network of dispersed computers that randomly record blocks of cryptocurrency transactions, called blockchain technology. Bitcoin and Ethereum are two well known cryptocurrencies.

You can make money directly by mining cryptocurrency, but that takes massive computing power. Or by buying a cryptocurrency, and then selling (hopefully) at a profit. The value is based solely on supply and demand and prices have had huge price swings up and down. Blockchain technology is often cited as the real prize. But you can’t buy the blockchain any more than you can buy the internet. 

There more ways to play. BlockFi https://www.blockfitrust.com/ is offering an account that pays interest on cryptocurrency deposited with them, as well as cryptocurrency trusts. There are Cryptocurrency exchange-traded funds (ETFs) and Blockchain ETFs that own stocks in companies that have business operations in blockchain technology.  

But ingenuity and innovation are still far out pacing regulation and disclosure. Finding information on trading costs is tough. After digging through Coinbase’s website I found “it depends”. They disclose trading costs just before you place a trade. On Venmo, I had to go to the literal fine print . “When you buy or sell cryptocurrency, we will disclose an exchange rate and any fees you will be charged for that transaction. The exchange rate includes a spread that Venmo earns on each purchase and sale.” https://venmo.com/about/crypto/   Grayscale which offers a fund only open to accredited investors clearly states it charges a 2.5% management fee. https://grayscale.com/wp-content/uploads/sites/3/2021/08/dlc-fund-fact-sheet-august-2021.pdf  

Price manipulation is another concern. Interestingly, Coinbase addresses this in its crypto slang guide, rather than an easy to find disclosure section. https://www.coinbase.com/learn/tip-and-tutorials/crypto-slang-guide

A pump and dump is a coordinated effort to artificially inflate the price of an asset and cash out before it tumbles back to down. Think Gamestock. The biggest holders of crypto, known as whales, have the potential to move markets with their trades. The top 100 Bitcoin addresses out  800,000 plus held more than 20 percent of all BTC according to bitinfocharts.com. 

Lastly, there’s taxes and recordkeeping. You need to keep detailed crypto records to to file your income tax returns, or again pay someone else to do the record keeping for you. The cryptotrader.tax website has a good blog that covers a lot of the (many) tax rules you need to consider. https://cryptotrader.tax/blog/the-traders-guide-to-cryptocurrency-taxes

 Keep learning and if you want to start playing in crypto, don’t go all in.  I’m not recommending it at all just yet. But if you try it,  don’t invest any more than you are willing to completely lose

Today we’re going to talk about Cryptocurrencand I’ll try to cut through some of the hype. If your new to crypto, check out Investopedia’s cryptocurrency page. https://www.investopedia.com/cryptocurrency-4427699 

Cryptocurrencies are systems that allow for secure payments online directly between individuals without  middlemen. Cryptocurrencies use virtual tokens which are created, called mining, on a network of dispersed computers that randomly record blocks of cryptocurrency transactions, called blockchain technology. Bitcoin and Ethereum are two well known cryptocurrencies.

You can make money directly by mining cryptocurrency, but that takes massive computing power. Or by buying a cryptocurrency, and then selling (hopefully) at a profit. The value is based solely on supply and demand and prices have had huge price swings up and down. Blockchain technology is often cited as the real prize. But you can’t buy the blockchain any more than you can buy the internet. 

There more ways to play. BlockFi https://www.blockfitrust.com/ is offering an account that pays interest on cryptocurrency deposited with them, as well as cryptocurrency trusts. There are Cryptocurrency exchange-traded funds (ETFs) and Blockchain ETFs that own stocks in companies that have business operations in blockchain technology.  

But ingenuity and innovation are still far out pacing regulation and disclosure. Finding information on trading costs is tough. After digging through Coinbase’s website I found “it depends”. They disclose trading costs just before you place a trade. On Venmo, I had to go to the literal fine print . “When you buy or sell cryptocurrency, we will disclose an exchange rate and any fees you will be charged for that transaction. The exchange rate includes a spread that Venmo earns on each purchase and sale.” https://venmo.com/about/crypto/   Grayscale which offers a fund only open to accredited investors clearly states it charges a 2.5% management fee. https://grayscale.com/wp-content/uploads/sites/3/2021/08/dlc-fund-fact-sheet-august-2021.pdf  

Price manipulation is another concern. Interestingly, Coinbase addresses this in its crypto slang guide, rather than an easy to find disclosure section. https://www.coinbase.com/learn/tip-and-tutorials/crypto-slang-guide

A pump and dump is a coordinated effort to artificially inflate the price of an asset and cash out before it tumbles back to down. Think Gamestock. The biggest holders of crypto, known as whales, have the potential to move markets with their trades. The top 100 Bitcoin addresses out  800,000 plus held more than 20 percent of all BTC according to bitinfocharts.com. 

Lastly, there’s taxes and recordkeeping. You need to keep detailed crypto records to to file your income tax returns, or again pay someone else to do the record keeping for you. The cryptotrader.tax website has a good blog that covers a lot of the (many) tax rules you need to consider. https://cryptotrader.tax/blog/the-traders-guide-to-cryptocurrency-taxes

 Keep learning and if you want to start playing in crypto, don’t go all in.  I’m not recommending it at all just yet. But if you try it,  don’t invest any more than you are willing to completely lose

Two of the biggest questions I get about retirement are “How much do I have to save” and “Do I have enough?” But first we have to step back and answer the question “How much will I spend in retirement?”  I recommend you map out your current cash flow, also called a budget, in detail. Spend some time envisioning the kind of lifestyle you want in retirement. Then make adjustments from your current cash flow to build a retirement budget.
Let’s start with income. Pull out your Leave and Earnings Statement and pay stubs. Military look for your total entitlements. Federal civilians look for your base pay plus locality pay . Working spouses and others use a recent pay stub. Jot down these sources of income. 
Do the same for expenses. Look for deductions and allotments. Then list t other expenses you pay and categorize them. If possible use a year’s worth of expenses. If you don’t already keep a detailed list of expenses, now’s a good time to start. For now make an educated guess and begin logging your spending. A budgeting app like YNAB or Mint may help.
Now  adjust your current expenses to estimate your retirement expenses. Here are some expenses that often change in retirement. Social Security and Medicare taxes are only withheld from money you earn through work. Retirement savings like the Thrift Savings Plan (TSP), 401(k) plans, and IRAs a will stop when you stop work. Drop these expenses from the retirement budget. Will  your household living expenses like rent, utilities, income taxes, entertainment, charity, and travel? Adjust the budget.
 If you pay off a mortgage, remember you still have to pay your property taxes and homeowners insurance. Will you downsize? Less expensive homes usually have lower property taxes, costs of insurance, utilities, and maintenance. If you want to buy a vacation home your total housing cost will go up.
 Food and commuting costs often go down in retirement. Plan on traveling a lot or starting an expensive hobby? Add those higher expenses down in the budget.
Your healthcare costs are likely to go up. Tricare for military retirees is very reasonably. Get costs at https://tricare.mil/-/media/Files/TRICARE/Publications/Misc/Costs_Sheet_2021.pdf However, many military retirees are surprised once you reach age 65. You will be moved to Tricare for Life, which is free. But you are required to sign up for Medicare Parts A&B.  Generally there's very little  out of pocket expenses. But, you have to pay Medicare Part B premiums, which will be higher than your Tricare Prime or Select premiums were.  https://www.medicare.gov/your-medicare-costs/part-b-costs
Federal retirees can carry FEHB into retirement. The premium you pay will be the same as working federal employees, but due to premium conversion you will pay more in taxes.  For everyone else, your employer likely paying a large part of your premiums which will much higher if you stop work before Medicare kicks in at 65. Healthcare expenses like nursing home care are a wild card and can spike near the end of your life. Budget for that spike or for long term care insurance premiums.

Once you know what expenses you need to pay in retirement, you can begin planning how to have the income to cover it. Coming up short? The earlier you know this the better. You have time to adjust. You might decide to seek a higher paying job now to save more, retire later, or work part-time in retirement. It’s your retirement and planning early can help you have it your way. Would you like help answering your “Will I have enough?” questions? I love helping clients like you budget, plan, and save for the future you want. You can email me at [email protected]

Two of the biggest questions I get about retirement are “How much do I have to save” and “Do I have enough?” But first we have to step back and answer the question “How much will I spend in retirement?”  I recommend you map out your current cash flow, also called a budget, in detail. Spend some time envisioning the kind of lifestyle you want in retirement. Then make adjustments from your current cash flow to build a retirement budget.
Let’s start with income. Pull out your Leave and Earnings Statement and pay stubs. Military look for your total entitlements. Federal civilians look for your base pay plus locality pay . Working spouses and others use a recent pay stub. Jot down these sources of income. 
Do the same for expenses. Look for deductions and allotments. Then list t other expenses you pay and categorize them. If possible use a year’s worth of expenses. If you don’t already keep a detailed list of expenses, now’s a good time to start. For now make an educated guess and begin logging your spending. A budgeting app like YNAB or Mint may help.
Now  adjust your current expenses to estimate your retirement expenses. Here are some expenses that often change in retirement. Social Security and Medicare taxes are only withheld from money you earn through work. Retirement savings like the Thrift Savings Plan (TSP), 401(k) plans, and IRAs a will stop when you stop work. Drop these expenses from the retirement budget. Will  your household living expenses like rent, utilities, income taxes, entertainment, charity, and travel? Adjust the budget.
 If you pay off a mortgage, remember you still have to pay your property taxes and homeowners insurance. Will you downsize? Less expensive homes usually have lower property taxes, costs of insurance, utilities, and maintenance. If you want to buy a vacation home your total housing cost will go up.
 Food and commuting costs often go down in retirement. Plan on traveling a lot or starting an expensive hobby? Add those higher expenses down in the budget.
Your healthcare costs are likely to go up. Tricare for military retirees is very reasonably. Get costs at https://tricare.mil/-/media/Files/TRICARE/Publications/Misc/Costs_Sheet_2021.pdf However, many military retirees are surprised once you reach age 65. You will be moved to Tricare for Life, which is free. But you are required to sign up for Medicare Parts A&B.  Generally there's very little  out of pocket expenses. But, you have to pay Medicare Part B premiums, which will be higher than your Tricare Prime or Select premiums were.  https://www.medicare.gov/your-medicare-costs/part-b-costs
Federal retirees can carry FEHB into retirement. The premium you pay will be the same as working federal employees, but due to premium conversion you will pay more in taxes.  For everyone else, your employer likely paying a large part of your premiums which will much higher if you stop work before Medicare kicks in at 65. Healthcare expenses like nursing home care are a wild card and can spike near the end of your life. Budget for that spike or for long term care insurance premiums.

Once you know what expenses you need to pay in retirement, you can begin planning how to have the income to cover it. Coming up short? The earlier you know this the better. You have time to adjust. You might decide to seek a higher paying job now to save more, retire later, or work part-time in retirement. It’s your retirement and planning early can help you have it your way. Would you like help answering your “Will I have enough?” questions? I love helping clients like you budget, plan, and save for the future you want. You can email me at [email protected]