Annual leave and retirement computation

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Q. I am under FERS. I turn 62 in June 2014 with 15 years of service. If I retire at the end of June and if I have the maximum 240 hours of annual leave carried over from the end of December the year before, what happens to annual hours earned from January to end of June, when I retire? Will unused annual leave be added to my service time? If the answer is yes, is it 174 hours for each month, as it is with sick leave?

A. Annual leave cannot be added to your actual service time. Instead, when you retire, at the end of June, you’ll receive a lump-sum payment for any hours you have then.

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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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