Q: I am a 57-year-old retired Marine who was recently hired as a DAC. One question I didn’t ask was the minimum time required in order to qualify for a pension. I would also be interested in hearing how the pension compensation math is done. A: The numbers work out well for you. If you have five years of creditable civilian service, you would be able to retire at age 62. The formula used to compute your annuity would be 0.01 x your highest three years of average salary x your years and full months of civilian service.
Monthly Archives: January, 2011
Q: If I retire CSRS after 41 years and 11 months of service, can I get an excess retirement contribution refund or purchase additional annuity over 80 percen?. Do I use entire contributions for the additional annuity calculations or just the amount over 80 percent? A: Only the excess contributions may be used to purchase additional annuity. OPM will provide you with the exact amount when they process your retirement application.
Q: I work for the federal government. I’m a GS with 13 years of service. I worked part time for NAF in the past, and I stayed with their retirement plan and 401(k) plan. Will the federal government count the years that I worked for NAF in with my retirement? A: No, unless you meet the criteria spelled out on OPM’s website at www.opm.gov/retire/pre/naf/naf-1.htm.
Q: I am a CSRS employee and I plan to retire at the end of the year. I am interested in coming back as a part-time rehired annuitant. My research indicates that as a rehired annuitant, appointments are limited to a year or less, and the annuitant may not serve for more than 520 hours during the period ending six months following the commencing date; for more than 1,040 hours during any 12-month period or for more than a total of 3,120 hours. My confusion is that the appointment is limited to a year, however, the annuitant may not work…
Q: My uncle retired from the U.S. Postal Service in or around 1982 after 30 years of service. He is 92 and will be moving into an assisted living facility. Is he entitled to any financial assistance to cover the cost? He has been receiving his pension of $2,400 a month since his retirement, but it does not cover the cost. A: No, the retirement system doesn’t provide such assistance. However, if he is enrolled in the Federal Employees Health Benefits program or Medicare, he may be eligible for some benefits from them.
Q: I am 47 and served for 23 years on active duty. I am employed in federal service going on a year. How long must I serve in the government before I can retire and receive both military and federal service retirement pay? A: The earliest you could retire from your civilian employment would be when you reach your minimum retirement age, which in your case would be 56. You could then retire under the MRA+10 provision. However, your annuity would be reduced by 5 percent for every year you were under age 62. You could reduce or eliminate the…
Q: I am a Postal employee with 25+ years under FERS. Can I take the Voluntary Early Retirement Authority if I am excessed? A: The VERA applies only when OPM has granted an agency permission to offer early retirement. However, if no such authority has been granted to your agency, but you receive an official notice that you will be separated from your position, and there is no other job at the same grade or pay in your commuting area, you would be eligible for a discontinued service retirement.
Whether you are an employee or a retiree, this year is a real bust when it comes to benefits. Employee pay scales are frozen at 2010 levels for two years under a presidential proposal that was approved by Congress. Frozen are cost-of-living adjustments to the General Schedule, Senior Executive Service, wage grade and other pay scales in the executive branch for 2011 and 2012. On the bright side, employees eligible for step increases will still receive them in those years. About 1.1 million GS employees — three-quarters of the GS population — will receive $2.5 billion in raises through step…
Q: I have worked for the U.S. Postal Service since 1996 and have always had FEHB. I am submitting for disability retirement. If approved, will I have to pay my share and the postal service’s share to maintain coverage in retirement? A: You will only have to pay your share of the premiums. However, they will be higher than they were while you were an employee. That’s because the U.S. Postal Service unions negotiated a better deal for its employees. Retirees pay the same premiums as all other federal employees and retirees.
Q: How is unused sick leave calculated when a CSRS employee retires at the maximum 42-year tenure with an 80-percent annuity calculation? Would the annuity be higher then 80 percent based on the sick leave accumulated? Example: Federal Service of 42 years. Sick leave accumulated is 3,000 hours. Would the annuity be calculated at near 83 percent? A: Yes. The 80-percent maximum is a cap on your earned annuity, the one based on your years of creditable service. It does not apply to unused sick leave or to additional annuity purchased through the Voluntary Contributions Program.