9 Federal Benefits You're Probably Not Claiming in 2026
From a $7,500 Dependent Care FSA to free EAP counseling and FEHB Part B reimbursement, here are 9 federal benefits feds leave on the table every year.
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9 Federal Benefits You're Probably Not Claiming in 2026
Last Updated: June 3, 2026 Reading Time: 9 min
Federal employees get a strong benefits package, but a lot of it sits unused because nobody automatically signs you up. Some of these federal benefits require a form, a phone call, or just knowing they exist. A GS-13 in DC who skips four of the items below leaves close to $12,000 a year on the table.
Here are nine benefits feds routinely forget to claim, what each is worth, and how to grab it.
Key Takeaways
- The Dependent Care FSA jumped to $7,500 for 2026, worth about $2,200 in tax savings.
- Contributing below 5% to TSP forfeits part of the 4% agency match, roughly $5,000/year for a GS-13.
- Several FEHB plans reimburse your Medicare Part B premium ($800 to ~$1,200/year), but you usually have to ask.
- The tax-free transit subsidy is $340/month in 2026.
- The FEHB 5-year rule is the one you can't fix later. Miss it and you lose FEHB in retirement.
1. FEHB Medicare Part B Premium Reimbursement
Several FEHB plans hand Medicare-enrolled retirees money back on their Part B premium. GEHA reimburses about $1,000 a year, BCBS FEP Basic about $800, and some plans go up to roughly $1,200. The catch: the most popular plan, BCBS Standard, pays $0, and the reimbursement is rarely automatic. You usually have to enroll or submit for it.
If you're on Medicare, check your plan's brochure for a Part B "giveback" and make sure you're actually receiving it. See our FEHB and Medicare Part B guide for how the two coordinate.
2. The Health Care FSA ($3,400 Pre-Tax)
A FSAFEDS Health Care FSA lets you set aside up to $3,400 in 2026 for medical, dental, and vision costs with pre-tax dollars. At a 22% bracket plus FICA, the full election saves roughly $1,000 in taxes. You can roll over up to $680 to the next year.
Only a fraction of eligible employees use it, mostly because you have to re-enroll every year. It does not carry over your election automatically. One rule: it's incompatible with an HSA, so if you're on an HDHP, use the limited-expense version instead.
3. The Dependent Care FSA Just Jumped to $7,500
This is the big 2026 change. The Dependent Care FSA limit rose from $5,000 to $7,500, the first statutory increase in decades. If you pay for daycare, after-school care, or adult day care, a full election saves about $2,200 in combined federal income and FICA taxes.
There's no carryover (a grace period runs into early 2027), and both spouses must work, look for work, or be full-time students to use it. If you've got kids in care and you've been ignoring this account, 2026 is the year to look again.
4. The TSP Match You're Forfeiting Below 5%
Roughly 1 in 8 FERS employees (an industry estimate of about 13%) contribute less than 5% of salary to TSP. Every one of them is throwing away free money. The agency matches up to 4% on your first 5%, plus a 1% automatic contribution.
For a GS-13 in the DC area, the forfeited match runs about $5,377 a year. Worse, that's before decades of compounding. Bump your contribution to at least 5% and you capture the full match immediately (the 1% automatic vests at 3 years; the match is yours right away). See the 2026 TSP limits and how consistent contributors built seven figures.
5. The $340/Month Tax-Free Transit Subsidy
If you commute to a federal worksite, you may qualify for a tax-free transit subsidy worth up to $340 a month in 2026 ($4,080 a year), up from $325. DC-area agencies are required to offer the full amount; elsewhere it's discretionary, and enrollment is never automatic. A separate $340/month parking benefit can stack on top.
Plenty of feds outside DC have no idea this exists. Ask your HR or transit coordinator whether your agency participates.
6. The Self-and-Family Plan That's Cheaper Than Self Plus One
This one feels like a glitch, but it's real. In 2026 there are about 39 FEHB plans where the Self and Family premium is actually lower than Self Plus One, same plan, more coverage, less cost. In the most extreme case, switching saves around $1,737 a year.
Because the list of "inverted" plans changes every year, this is worth a 5-minute check each Open Season. Run your plan through our FEHB Premium Calculator and compare the tiers side by side.
7. The New TSP Roth In-Plan Conversion
As of January 28, 2026, you can convert traditional TSP money to Roth inside the TSP, no rollover to an IRA required, and no income limit. Minimum $500 per conversion, up to 26 per year, and you can even convert the agency match.
Most feds haven't touched it yet. One gotcha: Roth TSP is still subject to RMDs (unlike a Roth IRA), so many people roll Roth TSP to a Roth IRA at separation to escape them. See our TSP Roth in-plan conversion guide before you start.
8. Free Counseling Through Your EAP
Every federal agency offers an Employee Assistance Program, and almost nobody uses it. The EAP provides a handful of free, confidential counseling sessions (the exact number varies by agency contract), plus 24/7 crisis support and free financial and legal consultations. The market value runs $600 to $1,500+.
It's confidential, your agency is never told, and your household members are covered too. The Federal Occupational Health line is (800) 222-0364. For more, see our federal employee mental health resources.
9. The FEHB 5-Year Rule (Claim It Before You Retire)
This is the one you cannot fix after the fact. To carry FEHB into retirement, you must be enrolled (in your own plan or a spouse's) for the 5 years right before you retire, and retire on an immediate annuity. Miss either piece, for example by taking a deferred retirement, and you lose FEHB in retirement for good.
Over a 20-year retirement, losing FEHB can cost $200,000 or more in extra health spending versus keeping it. If retirement is on the horizon, confirm your 5-year clock now. Our FEHB guide and plan evaluation guide walk through it.
What You're Leaving Behind, by the Numbers
Here's what just four of these are worth in a year for a mid-career fed who captures all of them:
| Benefit | Approximate annual value |
|---|---|
| TSP match captured (GS-13, DC) | ~$5,377 |
| Dependent Care FSA tax savings | ~$2,224 |
| Transit subsidy (tax-free) | ~$4,080 |
| Health Care FSA tax savings | ~$1,000 |
| Total | ~$12,681 |
These are different kinds of value (employer match, tax savings, a subsidy), so it's not a single check. But it's real money, and most of it goes unclaimed simply because no one fills out the form.
Calculate Your Numbers
Use our free FEHB Premium Calculator to compare coverage tiers and catch the Self-and-Family inversion, the TSP Calculator to see what a captured match grows into, and the GS Pay Calculator to value your pre-tax benefits against your salary. Start with the FEHB calculator.
Frequently Asked Questions
Which FEHB plans reimburse the Medicare Part B premium?
Several do, including GEHA (about $1,000 a year) and BCBS FEP Basic (about $800), with some plans paying up to roughly $1,200. The most popular plan, BCBS Standard, pays $0. The reimbursement usually isn't automatic, so you have to enroll or request it through your plan. Always confirm the current amount in your plan's brochure.
How much can I contribute to a Dependent Care FSA in 2026?
The Dependent Care FSA limit jumped to $7,500 for 2026, up from $5,000, the first increase in decades. A household contributing the full amount saves roughly $2,200 in combined federal income tax and FICA. There's no carryover (a grace period runs into early 2027), and both spouses must work or be full-time students to use it.
What happens if I contribute less than 5% to my TSP?
You forfeit free money. The agency matches up to 4% on your first 5%, plus a 1% automatic contribution. Contribute below 5% and you leave part of that 4% match on the table every pay period. For a GS-13 in DC that can be roughly $5,000 a year in lost match, before decades of compounding on top.
Can I keep FEHB in retirement?
Only if you meet the 5-year rule: enrolled in FEHB (yours or a spouse's) for the 5 years right before you retire, plus retiring on an immediate annuity. Miss either part, like taking a deferred retirement, and you permanently lose FEHB in retirement. Over a 20-year retirement that gap can cost six figures.
Related Resources
- FEHB Premium Calculator: Compare tiers and catch the Self-and-Family inversion.
- 2026 TSP Contribution Limits: The numbers behind the match.
- TSP Roth In-Plan Conversion Guide: The new 2026 feature.
- FEHB Guide: The 5-year rule and plan selection.
Sources
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