I kind of like the title of this article. Only one actual word (after the “intro”)…everything else is an acronym or made-up word. So, let’s first define the acronyms:
As a military retiree or federal employee with military connections you’re in a unique position when it comes to healthcare options. Having access to both TRICARE and the Federal Employees Health Benefits (FEHB) program is kinda like holding two aces in a poker game – but knowing when to play each card is the real trick!
This choice could save you thousands of dollars or cost you a lot of money if you don’t know how these programs work together. I’ve been helping people make these kinds of decisions for years. Let’s make it easy for you to decide what to do.
Understanding Your Options: TRICARE vs. FEHB Basics
Before deciding if you should get FEHB when you already have TRICARE, it’s important to understand what each program offers.
TRICARE: The Military Healthcare Program
TRICARE is specifically designed for military members, retirees, and their families It offers
- Lower out-of-pocket costs compared to many private plans
- Comprehensive medical coverage including hospital care, doctor visits, and prescriptions
- Global healthcare access (great if you travel internationally!)
- Various plan options like TRICARE Prime and TRICARE Select
When you hit 65, TRICARE for Life (TFL) becomes available as a Medicare supplement.
FEHB: The Federal Employee Advantage
The FEHB program serves federal employees, retirees, and their eligible family members with:
- Over 200 plan options to choose from (nationwide and regional)
- Extensive provider networks (often larger than TRICARE’s)
- Customizable plans to match your specific needs
- Seamless integration with Medicare for retirees over 65
- The flexibility to change plans annually during Open Season
Can You Have Both TRICARE and FEHB?
Yes! This is where things get interesting. You can have both programs if you are a retired military member and a retired federal worker or retiree. If you do that, one program will cover you first and the other will cover you second.
Typically, for active federal employees or reemployed annuitants, FEHB pays first, and TRICARE covers additional costs not covered by FEHB. This coordination can significantly reduce your out-of-pocket expenses.
The 5-Year Rule and TRICARE Consideration
Here’s something REALLY important that many people don’t know
If you’re planning to retire from federal service and want to keep FEHB in retirement, you usually need to have been enrolled in FEHB for the 5 continuous years immediately before retiring. However, there’s a special provision for those with TRICARE!
TRICARE coverage counts toward the 5-year requirement, provided you’re enrolled in FEHB when you retire. This means you could potentially enroll in FEHB shortly before retirement and still qualify to keep it in retirement, which gives you amazing flexibility.
When Should I Choose FEHB If I Have TRICARE?
There are several scenarios where having FEHB alongside TRICARE makes sense:
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You want more provider options: FEHB typically offers a wider network of healthcare providers than TRICARE, especially in certain geographic areas.
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You need additional coverage: FEHB plans might cover services that TRICARE doesn’t, or with better terms.
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You’re approaching federal retirement: If you’re within 5 years of retirement, enrolling in FEHB preserves your option to have both in retirement.
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You have family members with special needs: Some FEHB plans may offer better coverage for specific conditions or treatments.
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You want prescription flexibility: Coordinating both programs can reduce prescription costs significantly.
When TRICARE Alone Might Be Sufficient
For some folks, sticking with just TRICARE makes more sense:
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You’re on a tight budget: TRICARE typically costs less than FEHB premiums.
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You’re satisfied with TRICARE’s network: If your preferred doctors accept TRICARE, you may not need the broader FEHB network.
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You’re under 65 and healthy: If you have minimal healthcare needs, TRICARE’s comprehensive coverage might be sufficient.
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You don’t plan to retire from federal service: The 5-year rule is irrelevant if you’re not seeking FEHB in retirement.
Cost Considerations: Breaking Down the Numbers
Let’s talk dollars and cents – because that’s what really matters for most of us!
TRICARE Costs
TRICARE often has:
- Lower or no premiums (depending on your status and plan)
- Set copayments for services
- Annual enrollment fees for some plans
For example, there are no fees to sign up for TRICARE for Life, but you do have to pay Medicare Part B premiums. This makes it a very good deal for seniors over 65.
FEHB Costs
FEHB plans vary widely but typically include:
- Bi-weekly or monthly premiums (with government contribution)
- Deductibles, copayments, and coinsurance
- Annual out-of-pocket maximums
While FEHB premiums are usually higher than TRICARE costs, the extensive coverage and provider network might justify the expense depending on your healthcare needs.
The Medicare Factor: Age 65 and Beyond
When you turn 65, Medicare enters the equation, and your decision becomes even more nuanced.
TRICARE for Life + Medicare
Once you’re eligible for Medicare:
- You MUST enroll in Medicare Parts A and B to keep TRICARE benefits
- TRICARE for Life becomes your Medicare supplement
- TFL covers Medicare’s coinsurance and deductible for services covered by both
- There are no TFL enrollment fees or premiums (but you pay Medicare Part B premiums)
FEHB + Medicare
With FEHB and Medicare:
- Medicare enrollment is optional but can provide additional coverage
- FEHB plans continue to provide benefits whether or not you have Medicare
- Some FEHB plans offer incentives to enroll in Medicare
- You continue paying FEHB premiums in addition to any Medicare premiums
Real Scenarios to Consider
Let me walk you through some common situations to help you decide:
Scenario 1: Active Federal Employee with TRICARE
Meet James, an active federal employee with TRICARE eligibility. He’s considering whether to enroll in FEHB.
Best Choice: Enroll in FEHB, especially if retirement is within 5 years. This preserves post-retirement options and provides maximum coverage while working.
Scenario 2: Healthy Military Retiree Under 65
Sarah is a healthy 55-year-old military retiree working as a federal employee. She rarely needs medical care beyond annual check-ups.
Best Choice: TRICARE alone might be sufficient now, but enrolling in FEHB before retirement preserves future options. A lower-premium FEHB plan might be a good compromise.
Scenario 3: Military Retiree Over 65
Robert is 68, has Medicare Parts A and B, and TRICARE for Life. He’s wondering if adding FEHB makes sense.
Best Choice: The combination of Medicare and TRICARE for Life provides excellent coverage for most people. Adding FEHB might be unnecessary unless specific uncovered services are needed or you travel internationally frequently.
Scenario 4: Family with Special Healthcare Needs
The Johnson family has a child with special healthcare needs requiring specialized providers not in the TRICARE network.
Best Choice: Enrolling in FEHB provides access to a broader provider network, potentially offering better specialized care options.
Important Limitations and Considerations
Before making your decision, be aware of these important points:
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Suspension vs. Cancellation: As a retiree, you can suspend (not cancel) your FEHB coverage to use TRICARE or TRICARE for Life. If you lose TRICARE eligibility, you can reinstate your FEHB coverage.
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Active Employees Cannot Suspend: If you’re an active federal employee, you cannot suspend FEHB – you can only cancel it. And if you cancel, you can’t re-enroll until the next Open Season or qualifying life event.
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“Forever” Rule: If you cancel FEHB as a retiree (rather than suspending it), you generally cannot get it back. The common saying is “if you cancel, you are out forever.”
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Primary vs. Secondary Coverage: Understanding which program pays first is crucial for maximizing your benefits and minimizing out-of-pocket costs.
My Recommendations Based on Common Situations
If you’re asking yourself, “Should I get FEHB if I have TRICARE?”, here’s what I typically recommend:
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If you’re within 5 years of federal retirement: YES, enroll in FEHB, even if it’s a less expensive plan. This preserves your option to have both FEHB and TRICARE in retirement.
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If retirement is far away: Consider your immediate healthcare needs, budget, and provider preferences. TRICARE alone may be sufficient, but remember that life circumstances change.
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If you’re over 65 with Medicare and TRICARE for Life: The additional cost of FEHB may not be justified unless you have specific needs not covered by Medicare and TFL.
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If you have family members with complex medical needs: The additional coverage and broader network of FEHB might be worth the extra cost.
Final Thoughts
The decision to enroll in FEHB when you have TRICARE isn’t one-size-fits-all. It depends on your unique situation, healthcare needs, budget, and long-term plans.
I always tell my clients to think of FEHB and TRICARE not as an either/or choice but as complementary tools that, when used strategically, can provide comprehensive coverage while managing costs.
Remember, you can adjust your FEHB coverage during annual Open Season (typically mid-November to mid-December), allowing you to adapt as your needs change. TRICARE options can also be adjusted during TRICARE Open Season.
The best approach? Take some time to compare specific plans, costs, and coverage based on your actual healthcare usage. A benefits counselor can provide personalized guidance to help you make the best choice for your specific circumstances.
What’s your experience with TRICARE and FEHB? Have you found a combination that works particularly well for your situation? I’d love to hear your thoughts in the comments!
Disclaimer: This article provides general information and shouldn’t be considered personalized benefits advice. Healthcare regulations and benefits can change, so always verify current information with official sources before making decisions about your healthcare coverage.
How do FEHB and TRICARE Work Together While I’m Employed by the Federal Government?
The FEHB is the health benefit provided to civilian government employees. Government employees and the government share the costs of the program’s premiums with the government paying for about 70% of the premium. When a government employee is a retired military member or the spouse of an active military member or retiree, that employee will be covered by both the FEHB and TRICARE under most circumstances.
In the case where someone covered by both programs, FEHB pays first and TRICARE pays second. You do have the option, while employed, to opt out of the FEHB, but with the subsidy you receive from the government it might not make sense to do so.
What Happens to FEHB and TRICARE When I’m Medicare Eligible?
This is when you have to be very careful. You might decide that FEHB and TRICARE are enough, and you don’t need Medicare. It is certainly a reasonable conclusion…except. As things stand, you have to sign up for and pay for Medicare Parts A and B if you want to keep your TRICARE coverage. If you elect to not sign up for Medicare because you are happy with the FEHB, TRICARE duo, you’ll get a rude surprise when you file a claim and find out TRICARE won’t pay. The only way to get the TRICARE coverage reinstated is to start paying for Medicare. No exceptions.
Do I Need FEHB if I Have Tricare
FAQ
Can I have FEHB and TRICARE at the same time?
If a government worker is a retired military member or the spouse of an active military member or retired military member, they will be covered by both the FEHB and the GLB until September 10, 2024.
Is TRICARE or FEHB better?
In general, TRICARE is a better choice than any FEHB plan, because its benefits are somewhat better and the premium costs far lower under all TRICARE options.
Why are doctors dropping TRICARE?
Unpaid claims and coverage gaps: Changes to the military’s health care program are causing disruptions. Several thousand Tricare providers haven’t been paid for months, forcing many to drop patients, reduce hours or consider closing their clinics.
Are military retirees eligible for FEHB?
Military retirees have access to both TRICARE and FEHB, each offering unique benefits tailored to specific needs. Jun 14, 2025.
Does Tricare pay first or FEHB?
Federal employees who are eligible for TRICARE can choose to use either TRICARE or the Federal Employees Health Benefits program, or both. If you’re covered by both TRICARE and FEHB, the FEHB plan will pay first and TRICARE will be the secondary payer.
Is Tricare better than FEHB?
In general, TRICARE is a better choice than any FEHB plan, because its benefits are somewhat better and the premium costs far lower under all TRICARE options. Is TRICARE part of the Federal Employees Health Benefits Program?.
Should you use TRICARE and FEHB together?
Using TRICARE and FEHB together can enhance your healthcare coverage. Many military retirees opt to keep both programs, allowing them to coordinate benefits and minimize out-of-pocket expenses. Here’s how to make this combination work for you:
Do military families qualify for FEHB & Tricare?
You have access to TRICARE—a program specifically designed for military families—and the Federal Employees Health Benefits (FEHB) program, which offers extensive coverage options. While this dual eligibility is a significant advantage, navigating these systems can feel overwhelming.
What is Tricare for life & FEHB?
Options for HMO-style plans (TRICARE Prime) or PPO-style plans (TRICARE Select) based on location and personal preferences. TRICARE For Life acts as a supplement to Medicare for eligible beneficiaries. People who work for the federal government, retirees, and their eligible family members can get health insurance through the FEHB program.
Does Tricare cover FEHB if you retire?
But, if one has TRICARE, this coverage is included in the 5 years provided they are also covered by an active FEHB plan when they retire. Many military retirees, particularly those who remain in urban areas, usually have access to quality care and all the providers they need through their TRICARE coverage.