'New' Reserve Retirement Info

[Flash]

They have started pushing out info on the blended retirement system and how it affects the reserves and figured I would post it here for those who haven't seen it yet.

- A handy one-page info sheet
- Blended retirement homepage

Important retirement point numbers with the options for current reservists:

1. Reserve Component members with more than 4,320 retirement points will remain under the legacy retirement system.

2. Reserve Component members with less than 4,320 retirement points as of December 31, 2017, will have the choice of whether to opt into the new Blended Retirement System or remain in the legacy retirement system.

3. New accessions after January 1, 2018, will automatically be enrolled in the new Blended Retirement System.

 

[Hair Warrior]

Thanks, Flash. Good gouge.

If you were joining today as a reserve ENS, would you opt-into the new system, or stay with the legacy one?

 

[Flash]

If you were joining today as a reserve ENS, would you opt-into the new system, or stay with the legacy one?

Without running he numbers, the legacy retirement. Why? It's as sure a thing as you can get, even though TSP is a decent deal it is still subject to the vagaries of the market dependent on what you chose to invest your money in.

 

[AllAmerican75]

Flash, thanks for posting this. Do you know if I were to separate from AD in 2019 with 8 years of service and affiliate with the Reserves will I forfeit my legacy retirement and be forced into the blended retirement program?

 

[Flash]

Flash, thanks for posting this. Do you know if I were to separate from AD in 2019 with 8 years of service and affiliate with the Reserves will I forfeit my legacy retirement and be forced into the blended retirement program?

My initial inclination is to say no and that is backed up by what is on the blended retirement site, it specifically says "All members serving as of December 31, 2017, are grandfathered under the legacy retirement system. No one currently-serving will be automatically switched to the Blended Retirement System." I'll ask the question of my leadership though to ask up the chain and make sure.

 

[BenDog]

Thanks Flash...

 

[Sam I am]

Anymore chatter on this topic?

 

[Flash]

Anymore chatter on this topic?

What sort of chatter? Anything in particular?

 

[azguy]

Thanks, Flash. Good gouge.

If you were joining today as a reserve ENS, would you opt-into the new system, or stay with the legacy one?

I would think the same logic applies to this question for SELRES the same as it does for AD... If you intend to do 20+ years, the legacy option is a much, much, much better deal (you don't have to ever contribute anything and you end up taking home more money each month in retirement). If, however, you see yourself as a short timer, the matching TSP ends up working out better.

 

[Sam I am]

My initial inclination is to say no and that is backed up by what is on the blended retirement site, it specifically says "All members serving as of December 31, 2017, are grandfathered under the legacy retirement system. No one currently-serving will be automatically switched to the Blended Retirement System." I'll ask the question of my leadership though to ask up the chain and make sure.

What sort of chatter? Anything in particular?

That chatter? Confirmed?

 

[Flash]

That chatter? Confirmed?

Haven't gotten an answer yet, I'll ask again.

 

[NUFO06]

If your in the window to keep Legacy while on active duty and then switch to the reserves after Jan 2018 do you lose the legacy option? What is considered a new accession in the reserves?

 

[Flash]

If your in the window to keep Legacy while on active duty and then switch to the reserves after Jan 2018 do you lose the legacy option? What is considered a new accession in the reserves?

AllAmerican asked the same question and I'll ask it up my chain and let you know what they say when they get an answer.

 

[AQ-AT-NAVCIV]

My initial inclination is to say no and that is backed up by what is on the blended retirement site, it specifically says "All members serving as of December 31, 2017, are grandfathered under the legacy retirement system. No one currently-serving will be automatically switched to the Blended Retirement System." I'll ask the question of my leadership though to ask up the chain and make sure.

I would hope that you would be able to get the legacy, If not you would be behind the curve on the TSP matching part. Unless you would somehow get retro matching for those years?

Even if you get caught up on the matching, your screwed on the Growth!

 

[Flash]

I would hope that you would be able to get the legacy, If not you would be behind the curve on the TSP matching part. Unless you would somehow get retro matching for those years?

I very seriously doubt that they would convert folks to the new retirement system just because they went from active to reserve, but I have learned to 'trust but verify' in the government so I'll try and get an official answer.