What happens to members of the Blended Retirement System regarding government contributions?

Members of the Blended Retirement System receive both automatic and matching government contributions, which distinguish it from traditional retirement systems. The automatic contribution is a set percentage of basic pay that the government contributes to the member's retirement account, regardless of whether the member contributes to their account or not. This feature is designed to provide a foundation for retirement savings.

In addition to the automatic contributions, members are also entitled to matching contributions from the government, which can occur when members choose to contribute to their retirement savings. The government matches contributions up to a specified limit, thereby incentivizing service members to participate in their retirement savings plan actively.

This dual approach of combining automatic and matching contributions aims to create a more robust retirement savings strategy for members of the Blended Retirement System, promoting financial security in their retirement years.