Unused sick leave and deferred annuity


Q. I am a FERS employee who will have approximately 100 hours of sick leave by the time I plan to leave my federal position (March 1, 2013) under the MRA+10 policy.  I plan to defer my pension disbursement as I will be 52 when I leave federal service. How will my unused sick time figure into my deferred annuity calculation?

A. It will be added to your actual service time and used in the computation of your annuity. However, your annuity will only be increased if your leftover hours of actual service and sick leave hours add up to one or more months. For annuity computation purposes, a month is 174 hours long.


About Author

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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