VSIP, special retirement supplement eligibility and disability


Q. I am a FERS employee who is 57 years old with not quite 25 years of service. I am being offered a Voluntary Early Retirement Authority along with Voluntary Separation Incentive Pay ($25,000). Would I be eligible for the special retirement supplement if I accept the VSIP? Would I be eligible if I don’t accept it? Is it true that, if I accept the VSIP, I can never apply for disability? That’s what I was told by my HR office. I am being given a very short (30-day) window in which to make all of these decisions.

A. Because you have already reached your minimum retirement age, you would be entitled to receive the special retirement supplement, whether or not you accepted the VSIP. As for what you were told by your HR office, if you have a disability such that you are or would be eligible for disability retirement, you aren’t eligible to receive the VSIP.


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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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