2025 Estate Planning Basics For Federal Employees

By Bobby Maggi

An estate plan isn’t something that you wait until you are already a senior to create. Securing your future is something to be done today, but it can be difficult to navigate all of the critical areas of a solid plan. This guide by Federal Educators of Tampa aims to introduce you to the basics of estate planning for federal employees in 2025 so you can have a better understanding of what you need to do and how to start.

Why You Need An Estate Plan In 2025

It’s never too late to create an estate plan, and it’s never too early, either. As we’re way into 2025, now is the best time to start thinking about your future and your loved one’s protection.

Creating an estate plan in 2025 can help you:

Reduce the amount of estate taxes that you pay in later years
Have a plan in place should you become incapacitated
Ensure that any federal retirement annuities make it to the right people

Essentially, every year is a good year for FERS employees in Tampa to begin creating an estate plan.

How Do Federal Annuities Work?

Federal employee annuities are what you receive after retirement whether you fall under the Federal Employees Retirement System (FERS) or the Civil Service Retirement System (CSRS). Your federal employee retirement annuities should be included in your estate plan in case they are to be passed down to your intended beneficiaries via survivor benefits.

Survivor benefits ensure that your loved ones receive proper health care in case you pass away or become incapacitated. The Federal Employees Health Benefits (FEHB) program is a common example of a survivor benefit that should be included in your estate plan in Tampa.

Reviewing Your Available Federal Retirement Plans

As far as retirement income goes, there are plenty of federal pension plans available to fit your needs. The Thrift Savings Plan (TSP) is a common means of retirement savings that many federal government employees in Tampa partake in for passive savings for their retirement. TSPs work in the same way as an employer-offered 401(K) with both being viable options for funding your future retirement. However, should your TSP or 401(K) succeed you, it is wise to include them in your estate plan to ensure that your federal pension benefits reach your beneficiaries. Doing so may also help your loved ones circumvent taxes when receiving your funds.

Plan Ahead With Federal Employee Life Insurance Policies

One of the best things that you can pass down to your loved ones is security through life insurance. Federal Employees’ Group Life Insurance (FEGLI) is available for federal employees in Tampa to receive life insurance protection for their families as reassurance that their loved ones will be in good hands after their passing. Life insurance policies like FEGLI must be included in your estate plan if you wish to choose designated beneficiaries. Reach out to your trusted FEGLI consultant for a FEGLI analysis to get started! We can help you navigate FEGLI premiums for a secure future for your family.

I Want to Make An Estate Plan. Where Do I Begin?

Looking for a place to start? Here are some basic estate planning steps to get you going on the right path:

Create a list of your valuable assets.
Think about who you will assign as the beneficiary for each facet of your estate plan.
Consult an estate planner to formulate your plan and create all of the necessary legal documents.
Update and manage your estate plan on a regular basis.

Every complete estate plan in Tampa should include the following documents:

Last Will and Testament
Trusts
Power of Attorney
Living Will (Advance Directive)
Beneficiary Designations

Get Help With Your Estate Plan. Reach Out to Federal Educators Today!

Federal Educators of Tampa can assist you with every aspect of your estate plan by offering services like a Social Security analysis and benefit analysis to get you started on the right path to financial security for you and your loved ones. Meet your trusted estate planners today!

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