Pay & Benefits Watch

Legislation to end government shutdowns returns to Capitol Hill

Rep. Jodey Arrington, R-Texas, and Sen. James Lankford, R-Okla., have brought back a bill aimed at ending the costly budget impasses, a proposal that’s historically had little success in Congress.

Is FEGLI Option B really the best life insurance choice?

FEGLI plans remain a solid life insurance option for federal employees, but, depending on the coverage, it may also be wise to look to the private market.

Baldwin brings back zero-cost health care benefits bill for National Guard

The Wisconsin senator is resurrecting legislation aimed at extending military health care coverage to an estimated 130,000 troops in the National Guard and military reserves. 

Coverage for gender-affirming care will be eliminated from FEHB plans in 2026 

The federal HR agency removed all coverage of gender-affirming care from its health benefits program, barring three exceptions, following two recent executive orders.

OPM urges ‘objective’ ratings in employee awards under new performance rules

The new policies called for restarting the Presidential Rank Awards in fiscal 2026, but emphasized performance metrics “be differentiated in a meaningful and objective manner” to recognize federal employees. 

Why it might be time to look beyond U.S. stocks: A guide for federal retirees

The Thrift Savings Plan offers federal employees the ability to diversify their investments to international markets through the I Fund, which may soon be a popular strategy option.

How to avoid Medicare Part B late enrollment penalties

Planning to retire soon? Here’s what to know about timing your Medicare enrollment to steer clear of costly penalties.

Why a federal program paying employees not to work may violate spending laws

COMMENTARY | Legal scholar Madeline Materna explains why agency officials could be risking more than just bad press.

To fix air traffic controller shortage, Congress proposes changing retirement limits

The Control Tower Continuity Act would help address the ongoing staff shortfall of 3,000 positions by exempting personnel from mandatory retirement at age 61.

Retirement board finalizes new rule on how debt is calculated for some TSP loans

The Federal Retirement Thrift Investment Board will put into effect a final rule recalculating how federal employees repay accrued interest on reamortized loans from the government’s 401(k)-style retirement plan.

TSP funds continued their upward swing in June

Each of the portfolios in the federal government’s 401(k)-style retirement savings program gained value last month.

Tax-free…or not? Avoid these 4 Roth TSP mistakes

Not all money in a Roth Thrift Savings Plan account is automatically tax-free, and there are several things to consider before making a withdrawal to avoid tax and other penalties.

New pay claims for active-duty federal employees possible after Supreme Court decision

An April decision by the justices means that federal employees called up to active service could be eligible for differential pay, and that the Merit Systems Protections Board could receive a wave of new claims.

Estate planning through Revocable Living Trusts: A guide for retirees and government employees

Federal employees can deploy more flexibility in their retirement and estate planning, as well as potentially safeguard assets for their beneficiaries by considering the range of offerings provided by a living trust.

Senators fix their sights on OPM’s pay memo for political appointees 

Eight Democrats decried recent guidance encouraging agencies to pay Schedule C political appointees the maximum federal salary of $195,200 as an attempt to hire “underqualified and overpaid political elites.”

Kaptur reintroduces legislation to expand Gold Star survivors benefits, Neguse wants to offer vets firefighter training 

The Ohio congresswoman brought back her bill to lower health care costs for fallen service members’ partners for longer, while Rep. Neguse wants to offer veterans more job support. 

Senator says VA is slow-footing benefits law, congresswoman wants a watchdog for Thrift Investment Board

Del. Eleanor Holmes Norton, D-D.C., has brought back legislation that would create an inspector general for the Federal Retirement Thrift Investment Board, while the Senate Veterans’ Affairs Committee’s ranking member argues the department is too slow in implementing legislation.