How will encryption of my computer affect my already existing external backup drive?

I need to encrypt my macbook air and I am worried that this will affect future time machine backups. I have an external hard drive that I use and I don't know how that will handle the new encripted backups from now on. Am I better off buying a new external hardrive? I am afraid the new encrypted files will force the drive to reformat.
Thank you!

encrypt it with what?
3rd party software that is .dmg mountable like Espionage?  That would be a train wreck if you try to TM backup same.
Or use Apples encryption?
Make a regular TM backup, .........archive your data onto a 2nd hard drive,...... and encrypt select data on your Air,....... but unlock same before backing it up again in a TM refresh backup

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