Q. I bought back 2½ years of service (about $2,500; $647 was principle and $ 1,857 was accrued interest) in 2011. The redeposit was for service provided from March 25, 1985, to Aug. 26, 1987. Is any of it is tax-deductible for this year’s taxes?
A. No, it isn’t.
6 Comments
How about this tax year , i bought mine back for 17,890,
Thanks J
John Lewis
No.
I worked for the postal service for 5 plus and I bought back just over three years. Do you know if someone would be entitled to any benefits? Any information would be appreciated. Thank you
If you didn’t ask for a refund of your retirement contributions and bought-back time, you’d be entitled to a deferred annuity at age 62.
Are there any circumstances where military payback (interest) is tax deductible?
Not at the federal level. You’d have to check with your state to to find out if it deductible there.