4. The Blended Retirement System

In our fourth episode of the sheepdog financial podcast we do a deep dive into the blended retirement system.  One of the key benefits of the military is the retirement.  The retirement system used to be a simple 20 years and out pension.  The National Defense Authorization act of 2016 changed that and created a new retirement system for military members.  The new Blended Retirement System (BRS) blends the traditional legacy retirement pension, also known as a defined benefit plan, with a defined contribution plan known as the Thrift Savings Plan (TSP).  The BRS went into effect on January 1st of 2018.  The BRS significantly changes the military retirement system and for many will be their first opportunity to save and plan for their retirement regardless of how long they serve.