Q. I am a Defense Department FERS employee. I am considering retiring at age 59½ with a little over 20 years of creditable service and deferring my retirement until 60 so I don’t incur the under-62 penalty and lose the special retirement supplement. Do I understand correctly that because I am not taking an “immediate” annuity, I cannot carry my Federal Employees Health Benefits coverage into retirement if I choose to go six months early?
A. Yes, you understand correctly.