Monthly Archives: July, 2012

Q. I am a full-time FERS employee born in 1959 with a minimum retirement age of 56 but with 21 years with the Department of Transportation, two years in the Defense Department and six years in the military. What is the earliest age I would be able to retire given years of service? What would be the effects (reduction in benefits) of retiring at that minimum age? What is the minimum age I could retire without a reduction in benefits? A. The earliest age at which you could retire is when you reach your minimum retirement age — 56 — which…

Q. I am looking into medical retirement after 32 years with the federal fire department. At this time, the Air Force doc has not cleared me to work because of some prescription meds that I take on my off days. I’m going in for thumb surgery for arthritis. I also have lower back pain, and four vertebrae are not in the greatest health. I had Blue Cross/Blue Shield before, and when I got married, I dropped it because my wife’s medical insurance was better than mine. But she lost her job and is now disabled, too, and had to get BC/BS for the…

Q. I turned 65 and am not paying premiums on basic life insurance as I selected the 75 percent reduction. My life insurance was $54,000. What is it now worth, and how do you calculate what it will be worth once I reach the 25 percent? A. Because you accepted the 75 percent reduction, the value of your insurance will decline by 2 percent each month until it reaches 25 percent of what it was when you retired. At that point, your $54,000 basic insurance will be worth $13,500.

Q. I have an employee who wants to know if his GS-1810 (Investigator) service from Aug. 14, 1995, to May 2, 1999, with the Department of Justice will be credited toward the GS-1811 (Criminal Investigator) time even though he did not pay that time into the law enforcement officer FERS retirement fund and if so, can he pay into it? He would like to retire early under the LEO provisions of FERS? A. He can’t “pay into it.” That period of employment isn’t covered service and can’t be credited toward the years needed to qualify for LEO retirement.

Q. I am a FERS employee with 31 years of creditable service but will not reach my minimum retirement age (56) until May 2013. I am faced with possible termination but plan to resign. I understand that deferred retirees are not eligible for supplemental annuity, nor are they eligible to enroll in life insurance and health benefits. What if I am terminated rather than resigning? Will I be eligible for immediate annuity plus supplement and eligible to enroll in health benefits? Or I will only be eligible for deferred retirement in 2013 after reaching my MRA? A. It won’t make any difference to…

Q. I am a re-employed CSRS annuitant who is receiving both his full annuity and full salary. I receive and accrue annual leave and sick leave. When I retire again, for the second time, I will have accrued and unused annual leave and accrued and unused sick leave. At my retirement, will I be reimbursed for both the accrued and unused annual leave and the accrued and unused sick leave? A. You will receive a lump-sum payment for your unused annual leave. You won’t receive any payment for your unused sick leave because it has no cash value.

Q. I am a Postal Service employee with 27 years actual service. I also bought back four years of military service (actually three years, 11 months and 28 days). Will I get credit for four full years or three years and 11 months under FERS retirement? A. While you will get credit for that service in determining your eligibility to retire and in the computation of your annuity, it won’t be included when computing the special retirement supplement. Only actual FERS service will be counted in that.

Q. I am a married CSRS retiree. When I retired, I elected a full survivor benefit for my spouse. My spouse is a soon-to-be FERS retiree, and I would like to know what parts of her FERS retirement I am entitled to by law. How can I make it equal to what I am leaving her? A. You can’t make it equal to hers. A full survivor annuity for your wife equals 55 percent of your unreduced annuity, increased by any CSRS cost-of-living adjustments made between the day on which you retired and your date of death. If she leaves a full survivor…

Q. My mom and I have an ongoing debate: She has worked for the Postal Service for 34 years. She stated that when she retires, she will receive her retirement but will not be eligible to collect Social Security. Can you explain? A. Apparently, your mother is a CSRS employee. CSRS employees aren’t covered by Social Security. Unless she has accumulated 40 Social Security credits from other employment, she won’t be eligible for a Social Security benefit.

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