Have had only basic for 25 years, immediate retirement this year in April due to stroke. Still fegli basic. 65th birthday this year also. I know coverage was reduced. And free now into retirement, but, can i borrow against it at the value it is now? Homeless with medical bills, but have pension with social security.
FEGLI is expensive in retirement. Retiring in February after I turn 65, with no mortgage, no kids, a spouse who is all set, so taking 75% reduction which is no premiums after 65 and payout for me with my ending salary will be around $32k enough to cover funeral expenses.
I looked into other life ins. once i hit 40's. I went thru a person that worked with Fed. employees. Last year that policy (whole life) the company that had it, got in trouble and it's now not growing, reorganizing, something like that and 10 years later i get another for way more money! Very frustrating. When you look to get a different one go with a company that can be trusted! Buyer beware.
My understanding of life insurance is that the older you get the less you need. Kids are grown. If married and you both worked you both should have a retirement and SS. So no life insurance is a waste of money.
When you’re already in retirement and at age 65 when you say that your basic coverage is free does that mean that you no longer have to pay into the Fegli system but will still be covered?
dallen-- can not TELL you how ignorant i am. im USPS. signed on to (i think?) basic (25 years ago) because i thought one "was supposed to" do so. fast forward: im thinking "keep it so that whoever has to bury me wont be stuck with expenses". otherwise, MEH. im single, no kids. my neice will prob get stuck planting me.
Dallen - always great info! Question as I look at this for my family. If I had 30 years of service but was not my minimal retirement age (57) when I pass away. Would my wife qualify for a pension? If so, is it the full spousal benefit? Is it right away or would she have to wait until I would have been my minimal retirement age? Thanks again for you insights and passing of wisdom as we navigate these waters…
The only thing that's permanent about life insurance is the salesman's permanent need for a commission. Save up money throughout your life so that when you're older you become self insured. It works!
Have FEGLI plus a outside policy, the outside one expires next year after 20 years and now that I had prostate cancer the year i retired they can't insure me till at lease 5 years after i've been cancer free. So i will continue with Fegli for a while.
Great explanation
Have had only basic for 25 years, immediate retirement this year in April due to stroke. Still fegli basic. 65th birthday this year also. I know coverage was reduced. And free now into retirement, but, can i borrow against it at the value it is now? Homeless with medical bills, but have pension with social security.
We're sorry to hear about that. We hope things get better.
New usps hire. I’m 28, not married (yet), no kids (yet). I’m wondering what you would advise?
The need for life insurance decreases if you you don't have a close beneficiary.
FEGLI is expensive in retirement. Retiring in February after I turn 65, with no mortgage, no kids, a spouse who is all set, so taking 75% reduction which is no premiums after 65 and payout for me with my ending salary will be around $32k enough to cover funeral expenses.
Nice, thanks for sharing
Thank you.
My pleasure!
I looked into other life ins. once i hit 40's. I went thru a person that worked with Fed. employees. Last year that policy (whole life) the company that had it, got in trouble and it's now not growing, reorganizing, something like that and 10 years later i get another for way more money! Very frustrating. When you look to get a different one go with a company that can be trusted! Buyer beware.
Thanks for sharing!
My understanding of life insurance is that the older you get the less you need. Kids are grown. If married and you both worked you both should have a retirement and SS. So no life insurance is a waste of money.
Thanks for sharing!
You need to do this for soon to retire people. I’m a little confused on it.
Thinking of taking minimum since I have whole life, not term life, for 50,000.
I'll put it on my list.
Thank you for sharing. Great content!
My pleasure Bennie, Have a great day!
Is it sensible at 30 with eife and kkds to also get whole life insurance?
It depends on the situation but in many cases the problem can be solved with a good term policy
When you’re already in retirement and at age 65 when you say that your basic coverage is free does that mean that you no longer have to pay into the Fegli system but will still be covered?
But you will still be expected to pay for the coverage before age 65 correct?
As long as you picked the 75% reduction then the basic coverage will become free for you after 65 if you are already retired.
can u cancel ll life ins in retirement/ i tried and they are taking forever to cancel it thx
Yes, you can cancel
@@PlanYourFederalBenefits thx idid cancel in writing it takes like 5 months to go thru but itis retroactive thx
You mentioned dependent children under FEGLI option C. Is there an age limit?
22 for children unless they meet an exception.
I like your content. But please add chapters
Great suggestion, Thanks!
dallen-- can not TELL you how ignorant i am. im USPS. signed on to (i think?) basic (25 years ago) because i thought one "was supposed to" do so. fast forward: im thinking "keep it so that whoever has to bury me wont be stuck with expenses". otherwise, MEH. im single, no kids. my neice will prob get stuck planting me.
Also, the Basic is generally free for USPS employees so that also plays a role.
Dallen - always great info! Question as I look at this for my family. If I had 30 years of service but was not my minimal retirement age (57) when I pass away. Would my wife qualify for a pension? If so, is it the full spousal benefit? Is it right away or would she have to wait until I would have been my minimal retirement age? Thanks again for you insights and passing of wisdom as we navigate these waters…
Yes, as long as she is the beneficiary for your pension then she would get a pension if you passed.
The only thing that's permanent about life insurance is the salesman's permanent need for a commission. Save up money throughout your life so that when you're older you become self insured. It works!
Good point!
Yes, but until then, have insurance. You don't need health insurance either.
Have FEGLI plus a outside policy, the outside one expires next year after 20 years and now that I had prostate cancer the year i retired they can't insure me till at lease 5 years after i've been cancer free. So i will continue with Fegli for a while.
Dallen my man! How can you forget to mention the periodic FEGLI open seasons?? Last one was 2016, and 2004 before that...
Good point!
FEGLI is a horrible policy. Get rid of it before you turn 30 or at the earliest opportunity and do yourself a favor.