Q: I have a question about the MRA + 10 rule for retirement under FERS. My understanding is if I have at least 10 years of federal service when I turn 56, which is my minimum retirement age, then I can apply for an immediate annuity under the MRA + 10. I have six years under FERS and am 48 years old. So I will actually have 14 years at my MRA. Is my assumption correct?
A: Yes, you are correct; however, if you retire under the MRA+10 provision, your annuity will be reduced by 5 percent per year (5/12 percent per month) that you are under age 62. The only way to reduce or eliminate that penalty is to retire and delay the receipt of your annuity to a later date.