Q. I am receiving the FERS special retirement supplement, and there is a withholding due to my 2012 earnings. In April 2014, I turn 62 and the supplement ends. How with the withholding due to my 2013 earnings affect my retirement benefit at that time?
A. I’m not sure I understand the question, so I’ll just tell you what happens at age 62: The special retirement supplement ends, and you are immediately eligible for a Social Security benefit based on all your years of Social Security-covered employment. Whether you elect to take it or postpone it is up to you. The one thing to keep in mind is this: Until you reach your full Social Security retirement age, you will be subject to the Social Security earnings limit.
If you earn anything over that limit, it will reduce or suspend that benefit, just the way your special retirement supplement was treated. For more information on the earnings limit, go to www.ssa.gov/pubs/10069.html.
