Earnings limit


Q. I am 53 with 24 years of creditable service. My agency may offer a Voluntary Early Retirement Authority due to sequestration. If I am offered a VERA and I accept, I would start a Thrift Savings Plan annuity in the amount of approximately $5,000 per month. Is this considered income for the earnings limitation and the special retirement supplement? This would supplement my retirement annuity. I would be well over the $14,500 earnings limit. How would this impact any additional income from other private consulting work?

A. Only earnings from wages or self-employment are counted against the earnings limit, nothing else. FYI, the earnings limit for 2013 is $15,120.


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.

Leave A Reply