JAX/Norfolk Element 42 Pg. 193 Financial Management Element 42 Pg. 193 Navy Pre-Sep Day 1

Managing your finances is KEY to a successful transition!

To make informed decisions: JAX/Norfolk To make informed decisions: Invest time & thought developing your 12-month post-transition budget Calculate the total value of your military pay and benefits Understand your options related to your Thrift Savings Plan If retiring, discuss with your spouse /dependents if you should opt for the Survivor Benefit Plan (SBP) (and, if you entered the service before 01 Jan 2018 and have less than 12 years service, select your Retirement Plan by the end of 2018) Navy Pre-Sep Day 1

Your 12-month post transition plan JAX/Norfolk Your 12-month post transition plan Workshop typically occurs during Day 1 of TGPS Completing a plan meets a Career Readiness Standard; completing a complete and accurate plan prevents stress and hardship To prepare, take advantage of your unit’s Command Financial Specialist and FFSC financial counselors and workshops prior TGPS Use Block 1 of the ITP to help identify likely expenses Navy Pre-Sep Day 1

Calculate the total value of your military pay and benefits JAX/Norfolk Calculate the total value of your military pay and benefits Medical and dental coverage Specialty pay & allowances Child care, MWR, JAG services Commissary (30% cost advantage) Tax advantages for BAH/BAQ Paid Time Off (holidays, leave and sick time) Education benefits Navy Pre-Sep Day 1

Understand your options related to your Thrift Savings Plan JAX/Norfolk Understand your options related to your Thrift Savings Plan Meet with a financial specialist to discuss the pro’s and con’s of: Leaving your money in the Plan to grow (and keep your address updated) Rolling it over into another qualified retirement account Taking a partial or full withdrawal (may be taxable, and will subject to a penalty if you’re under 59 ½) See more details at https://www.tsp.gov/PDF/formspubs/tspbk08.pdf Navy Pre-Sep Day 1

JAX/Norfolk If retiring, decide whether to opt in or out of Survivor Benefit Plan (SBP) Similar to life insurance; continues to pay a percentage of your retirement pay to your spouse / children if you die before them You’ve been covered while on Active Duty; when you retire, you will automatically be enrolled unless you opt out, and this requires your spouse’s signature You and your spouse should run the numbers with a financial specialist to decide which options make most sense Navy Pre-Sep Day 1

Resources 12-month Post-Transition Budget: FFSC, MOC Crosswalk Manual Thrift Savings Plan https://www.tsp.gov/PlanParticipation/AboutTheTSP/index.html Survivor Benefit Plan militarypay.defense.gov/Benefits/Survivor-Benefit-Program/ https://www.dfas.mil/retiredmilitary.html