FEHB in Retirement: Complete Guide
Can You Keep FEHB Coverage After Retirement?
Yes! One of the best benefits of federal employment is the ability to continue your FEHB coverage into retirement. The government continues to pay its share of premiums, just like when you were working.
Eligibility Requirements
To keep FEHB in retirement, you must meet ALL of these conditions:
- FERS Retirement: You must retire on an immediate annuity (not deferred)
- 5-Year Rule: You must have been continuously enrolled in FEHB for the 5 years immediately before retirement
- Coverage Type: You can be enrolled as Self Only, Self Plus One, or Self and Family
What Counts Toward the 5-Year Rule?
The following periods count toward your 5 years of continuous coverage:
- Time enrolled in FEHB as a federal employee
- Time covered as a family member under someone else's FEHB enrollment
- Time covered under TRICARE or CHAMPVA (for military spouses)
- Breaks in coverage due to military service (if you return to federal employment)
How Much Does FEHB Cost in Retirement?
The cost structure in retirement is the same as when you were working:
| Coverage Type | Government Pays | You Pay |
|---|---|---|
| Self Only | 75% of premium | 25% of premium |
| Self Plus One | 75% of premium | 25% of premium |
| Self and Family | 72% of premium | 28% of premium |
• Government pays: $600 × 72% = $432/month
• You pay: $600 × 28% = $168/month
• Annual cost to you: $168 × 12 = $2,016
FEHB vs Medicare: Do You Need Both?
This is one of the most common questions for federal retirees. Here's what you need to know:
Age 65 and Older
- Medicare Part A: Free for most people, enroll at 65
- Medicare Part B: Costs $174.70/month in 2026 (income-adjusted)
- FEHB: Can serve as secondary coverage or primary if you don't have Medicare
Should You Enroll in Medicare Part B?
It depends on your situation:
| Scenario | Recommendation |
|---|---|
| FEHB HMO + Medicare | Part B may be redundant (check with your plan) |
| FEHB PPO/Fee-for-Service | Part B recommended for better coverage |
| Budget-conscious retiree | Keep FEHB only, drop Part B |
| Want maximum coverage | Keep both FEHB and Part B |
Changing Your FEHB Plan in Retirement
You can change your FEHB plan during Open Season (November-December each year) or if you experience a qualifying life event:
- Marriage or divorce
- Birth or adoption of a child
- Death of a family member
- Moving outside your plan's service area
- Losing other health coverage
Plan Your Complete Retirement
Health insurance is just one piece. Calculate your full FERS benefits including pension, TSP, and Social Security.
Main FERS Calculator →