Wasted buyback effort?


Q. I’ve been in federal service a little over a year. If I decide not to stay in federal service, is all the money I’m spending to buy back military time being wasted?

A. If you stay for a full five years and then leave, you’d be eligible for a deferred annuity, and the military service for which you made a deposit would be included in your annuity computation. If you stay for less than five years, you wouldn’t be eligible for any retirement benefit. Therefore, you’d be better off asking for a refund of both your Federal Employees Retirement System contributions and your military deposit.


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Reg Jones was head of retirement and insurance policy at the Office of Personnel Management. Email your retirement-related questions to fedexperts@federaltimes.com.

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