Q: I found the following information on the OPM website: After the first 12 months, 40 percent of your high-3 average salary minus 60 percent of your Social Security benefit for any month in which you are entitled to Social Security disability benefits. However, you are entitled to your “earned” annuity, if it is larger than this amount.
Does this mean that if my normal annuity would be higher than the subtracted amount then there would be no offset for Social Security?
A: No, it doesn’t. The offset will still be 60 percent of your Social Security benefit, regardless of whether you receive 40 percent of your high-3 average salary or your earned annuity, if higher.