Q: I am a CSRS federal government employee. I am single and have no children. I retired when I was 64 in January 2005 with 24 years and nine months of service. I signed a paper stating that I would not come back into the federal government for five years.
What happens if I am able to get a job in the federal government in 2011 when I am 69? When I am ready to retire again, will I still be under the CSRS or will I be under FERS? Will they add the 24 years and nine months of federal service to the new number of years that I have in, or will I lose the 24 years and nine months of federal service?
I have also received Social Security benefits based on the fact that I had 41 points outside the federal government along with one year as a government contractor from April 2008 to March 2009. Would this also count toward my second retirement?
A: If you return to work for the government, as a rule the salary of your new position would be offset by the amount of your annuity. While you would be initially employed under CSRS, you’d be given the option of transferring to FERS. If you worked for at least one year but fewer than five, you’d be eligible for a supplemental annuity, which would be added to your current annuity. If you worked for five years or more, you’d be eligible for a redetermined annuity, which would be based on your high-3 and total years and full months of service.
Because you have already reached your full retirement age, you would continue to receive your Social Security benefit. If you switched to FERS, those additional years of Social Security-covered service would increase the amount of that benefit.