facebook twitter instagram linkedin google youtube vimeo tumblr yelp rss email podcast blog external search brokercheck brokercheck
%POST_TITLE% Thumbnail

Retiree TRICARE Select to Become More Expensive

Managing Your Finances

TRICARE Select Introduces Enrollment Fees in 2021

Since its inception TRICARE has not charged fees/premiums for those who used Standard or who currently use Select. That will change in 2021. For all currently retired military who retired due to longevity an enrollment fee will go into effect on January 1st of 2021. Of note, the fee will not apply to those who are retired for medical reasons.

Fee Changes Are Not Huge

Individuals will pay a monthly fee of $12.50 and a family will pay $25 per month for a total of $150 or $300 per year. If you receive military retirement the payment will come out of your retired pay. The payments must start on January 1st. You'll most likely set up the payments through MyPay

That is Not All That is Changing

As a reminder when on TRICARE Select, you pay out of pocket until you reach your annual deductible ($150 per person/$300 per family...assuming your are a Group A retiree, which most current retirees should be). You then pay 20% of covered treatments or your prescription co-pay until you reach an annual catastrophic cap currently at $3,000. Then TRICARE pays for everything. The catastrophic cap will increase in 2021 to $3,500.

TRICARE Prime Users Aren't Off the Hook

TRICARE Prime enrollment fees will increase in 2021 too and as far as I can tell the catastrophic cap will increase to $3,500.

Military Finances are Different

Just like serving in the military isn't like being a civilian, military finances aren't just like civilian finances. If you'd like to work with a company that lives and breathes military finances each and every day, give us a call.

If you found this article useful, you might like the following blog posts:

Don't Lose Your TRICARE Coverage

Military Finances 101: Emergency Funds...Yeah, They're Important

Military Finances 101: ETF. Mutual Fund. What's the Difference?

Please remember that past performance may not be indicative of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by C.L. Sheldon & Company, LLC ), or any non-investment related content, made reference to directly or indirectly in this blog will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. C.L. Sheldon & Company, LLC does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to C.L. Sheldon & Company, LLC website or incorporated herein, and C.L. Sheldon & Company, LLC takes no responsibility therefore. All such information is provided solely for convenience, educational, and informational purposes only and all users thereof should be guided accordingly. Moreover, you should not assume that any discussion or information contained in this blog serves as the receipt of, or as a substitute for, personalized investment advice from C.L. Sheldon & Company, LLC . To the extent that a reader has any questions regarding the applicability of any specific issue discussed above to his/her individual situation, he/she is encouraged to consult with the professional advisor of his/her choosing. C.L. Sheldon & Company, LLC is neither a law firm nor a certified public accounting firm and no portion of the blog content should be construed as legal or accounting advice. A copy of the C.L. Sheldon & Company, LLC ’s current written disclosure statement discussing our advisory services and fees is available for review upon request. DISCLAIMER OF TAX ADVICE: Any discussion contained herein cannot be considered to be tax advice. Actual tax advice would require a detailed and careful analysis of the facts and applicable law, which we expect would be time consuming and costly. We have not made and have not been asked to make that type of analysis in connection with any advice given in this blog post. As a result, we are required to advise you that any Federal tax advice rendered in this blog is not intended or written to be used and cannot be used for the purpose of avoiding penalties that may be imposed by the IRS. In the event you would like us to perform the type of analysis that is necessary for us to provide an opinion, that does not require the above disclaimer, as always, please feel free to contact us.