No age penalty to worry about


Q. I would like to retire under the Federal Employees Retirement System at the age of 60, at which time I will have 30 years of service.  Can I defer my pension to age 62 in order to avoid the 5-percent yearly penalty and continue my health care coverage without collecting my pension for these two years?

A. You have nothing to worry about. The only FERS retirees subject to the age penalty are those who retire under the MRA+10 provision (minimum retirement age with between 10 and 29 years of service). You wouldn’t be penalized if you retired at age 60 even if you only had 20 years of service.


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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

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