Q: I recently retired from the Coast Guard as a Reserve warrant officer with 30 years of service (13 years active duty and 17 years as a reservist). Upon taking my GS position with the Coast Guard, I bought my 13 years of active duty in a lump sum. During my new-hire orientation, I was told that my bi-weekly leave accumulation would rise from four hours per pay period to six hours per pay period. To date, after two years, one month of GS service, I am still receiving four hours per pay period. Am I correct that I should…
Monthly Archives: March, 2011
Q: I recently requested the retirement package be sent to me and have a phone session scheduled for next week with a projected retirement date of June 3 (I am U.S. Postal Service letter carrier with 32 years of service). I am concerned that an incentive may be offered to get voluntary retirement due to budget problems. How would this affect someone who is in the process of retiring? Should I wait to send in the application until much closer to my retirement date to see if an incentive is offered? Or would I not be eligible for the incentive…
Q: On Oct. 31, 2007, I reached mandatory retirement age of 57 and retired as a FERS law enforcement officer with more than 33 years experience. I have a blended retirement of both CSRS and FERS. For whatever reason, I did not receive my lump sum vacation pay of $25,742 until early January 2008. Just recently, I received notice from OPM that because I exceeded the Social Security earnings limit of $13,560 for 2008, I was overpaid in the supplemental security portion of my pension. I did not have any other earned income for 2008. Since I could not have…
Q: I was a U.S. Postal Service employee from February 1975 until February 1983. I will turn 65 this May. I am not eligible for government retirement, since those eight years were my only government employment, nor am I eligible for Social Security benefits. Is there some way that the post office can credit my employment with them for Social Security benefits? A: No. Only employment where Social Security taxes are taken from your income can earn Social Security credits. Note: If you had retirement deductions taken from your salary and didn’t ask for a refund when you left, you…
Q: I am contemplating retiring Dec. 31. At that time, I will be 63 with 24 years of FERS service. I am a GS14 step 7 with a step increase to GS 14 step 8 due in June. My high-3 average will be in the area of $125,500 with an estimated TSP balance of $250,000 at the time of retirement. I also will have approximately 200 hours of accrued sick leave and 240 hours of annual leave accrued. Considering the current two-year pay freeze (with the possibility of a five-year freeze), and the possibility of changing from the high-3 average…
Q: My latest Social Security estimate pamphlet says the maximum monthly reduction for WEP in 2010 is $381. Does that mean I would take whatever amount they estimate my monthly amount will be and can count on having no more than $381 deducted from that amount for the WEP penalty? A: The windfall elimination provision reduces but does not eliminate the Social Security benefit of anyone who receives an annuity from a retirement system where he didn’t pay Social Security taxes, such as CSRS, and has fewer than 30 years of substantial earnings under Social Security. To find out how…
Q: I retired Jan. 29 as a federal law enforcement agent. I am 50 with 26 years of service, 23 as an 1811 Special Agent and three as a regular federal employee. I purchased my annuity Feb. 18. Does the purchase date count as the date the annuity starts (for the “immediate” part) and, if so, when does the special supplement kick in, or do I have to apply for it? A: The special retirement supplement will be included in your FERS monthly annuity payments. You don’t have to apply for it.
Q: I have about six years active military service, which began in May 1985, and 14 years reserve service, which ended in 1995. I am a FERS employee. I began work with the government in January 2009. Can you explain what buying military time means, and whether someone in my situation should do it? A: If you made a deposit for your six years of active-duty service, you would have six more years of creditable service for retirement and your FERS annuity when you did retire would be 6 percent higher. It’s worth noting that making a deposit for your…
Q: I am a FERS employee. I haven’t been able to find what fees are associated with taking an annuity with the TSP. The percentage amount of these fees will help determine whether to go with an annuity or take a fixed monthly payment schedule. A: There are no explicit fees. You pay the premium in exchange for a monthly payment.
Q: My brother died after being approved for, and receiving, a FERS disability. His spouse is 46 and receiving survivor annuity benefits from FERS. Is it fair to assume that if he was granted a FERS disability retirement that he also had applied for disability benefits under Social Security, or OPM would not have approved his FERS disability? Is she also entitled to any Social Security survivors benefits? A: OPM would not have processed his application for disability retirement unless he had filed for Social Security disability benefits. You’ll have to check with the Social Security Administration to learn what…