Q. I know that federal employees under FERS who have 30+ years of service at the minimum retirement age (MRA) are eligible to retire and receive an immediate annuity as well as the Social Security supplement until they reach eligibility for Social Security under normal circumstances. My question is: Who is actually paying this supplement?
A. The purpose of the special retirement supplement is to provide a bridge between retirement and when a retiree first becomes eligible for a Social Security benefit. The SRS is paid out of the Civil Service Retirement and Disability Fund. The amount needed to cover the cost was factored in when setting the retirement contribution rates for employees and agencies.
