Q. I’m a letter carrier with 32 years of federal service under FERS. I have 2½ years to go before I meet my minimum retirement age. I’m considering disability retirement because my health has been keeping me from work. What will I lose or gain (pros and cons) between regular retirement and disability retirement. Which is stronger financially?
A. FERS disability retirement provides the greater benefit, even for employees with as many years as you have. Note: If you file for FERS disability retirement, you must also file for Social Security disability benefits.
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If you take regular retirement, as an LEO with 23 years of service you’d receive 39.1 percent of your high-3. If you were approved for disability retirement, for the first 12 months, you’d receive 60 percent of your high-3, minus 100 percent of any Social Security disability benefit. After the first 12 months, you’d receive 40 percent of your high-3, minus 60 percent of any Social Security disability benefit. Note: It can takes months for OPM to process a disability retirement case.
I WOULD LIKE TO KNOW ABOUT GETTING A 30 PERCENT DISABILITY RETIREMENT FROM ARMY BACK DATED TO THE DATE YO,U RETIRE FROM THE ARMY AT THE TIME YOU GOT OUT YOU DID NOT HAVE MEDICAL RETIREMENT SO YO GO THROUGH VA AND SOCIAL SECURITY AND FINALLY GET 100 PERCENT DISABILITY AND THE ARMY COME BACK AND SAY YOU DO NOT RECEIVE ANY MONEY OR BACK PAY FROM THEM AND YOU OWE THEM MONEY HELP
Because this is a site for federal civilian employees, we aren’t able to answer your question.
Mr. Jones,
I am a Federal LEO with 25 years of covered service. I have a medical disability which prevents me from preforming my duties as a law enforcement officer. My question is would it be wiser for me to file a regular FERS retirement or a disability retirement? I believe if I file regular retirement I would get 39% of my High 3 plus SSI. My local field office doesn’t have an HR department so my office is no help.
Thank you,
Flying FAM
Start by finding out which avenue will be the best for you financially. If you retire your annuity will be based on the following formula:
.017 X your high-3 X your years and full months of service
If you have reached your minimum retirement age, you will also be entitled to the special retirement supplement, which approximates the amount of Social Security benefit you earned while a FERS employee. Even if you haven’t reached your MRA you’ll be entitled to the SRS, which approximates the amount of Social Security benefit you earned while a FERS employee. That benefit will continue to age 62 when you first become eligible to apply for a Social Security benefit.
If you apply for disability retirement, you’ll also have to apply for Social Security disability benefits. Then your your FERS annuity will be based on this formula:
For the first 12 months: 60 percent of your high-3 minus 100 percent of any Social Security disability benefit
Thereafter to age 62: 40 percent of your high-3 minus 60 percent of any Social Security disability benefit
At age 62: your FERS annuity will be converted to a regular annuity. Any Social Security disability benefit to which you are entitled will continue.
While applying for a regular retirement is a snap, applying for disability retirement involves a lot of paperwork, a medical exam, and a long wait before you get an answer.
I am thinking of taking an early retirement because my work injuries are not allowing me to work any longer. I worry I will not be able to support myself enough to pay my bills. If I was able to continue to work, I would have had a retirement with my employer and my house would have been paid off before I retired. If I leave employment early than my work retirement money will be a lot less. I know I can not live in my social security income cuz it won’t even be 500.00 a month. I am curious about whether or not SSDI is different that a medical disability claim? My work injury has left me unable to work any longer if that matters for the answer.
Are you a federal employee?
How do you know if you qualify? I am struggling sitting or standing at work(USPS). I am also a disabled vet. I’ve been with the USPS for 29 yrs and I’m 55yrs old.
You would have to apply for disability retirement and, if you are covered by FERS, you would also need to apply for Social Security disability benefits. You’re agency personnel office is responsible for helping you through the process.
OWCP claims overpayment from SSA but SSA stop my FERS in 3016 I turned 62 applied for retirement worked only 1yr 8 months before injury at USPS I called OPM about FERS they stated I have never been paid from O P M
When you were injured you had to decide between retiring or going on OWCP. You chose thelatter . Therefore, you wouldn’t have received any benefits from OPM. To see how the decision process works, go to https://www.opm.gov/retirement-services/publications-forms/csrsfers-handbook/c102.pdf?nocache=1 and scroll to Part 102A2.
I have never applied to OPM retirement due to the fact you must have 5 yrs working at USPS I have only 1 yr and 8 months in when I broke my neck OPM said I have never received anything from them.I had a choice of OPM or OWCP I chose Workers Comp instead at 59 yrs old.Three yrs later I turned 62 yrs old, Social Security said I qualified for retirement due to the fact I had enough credits before my USPS job and SSA stop my FERS offset without my knowledge , but OWCP states overpayment due to FERS both SDA And OPM both day I am not on FERS program
You may need to consult an attorney who is familiar with federal personnel matters and has no financial interest in the outcome.
I am reciving disability but reason move to tijuana mexico my daughter was to report to s.s.office andshe stayed with my debit card i would like a new one and applied for my retirement
I have been retired for 3 years and approximately 3 months. I filed for disability retirement at the same time I filed for regular retirement. If disability retirement is approved, will I receive a retroactive payment from the date I trtired? If so, how do I calculate that payment?
If approved, you disability retirement will be begin on your last day in a pay status. If there is a positive difference between what you are receiving as a regular retiree and a disability retiree, you’ll be paid the difference. If you are a CSRS retiree, there won’t be any difference. If you are FERS retiree, you can use the following formula to determine what your benefit would be:
– for the first 12 months, 60 percent of your high-3, minus 100 percent of any Social Security disability benefit;
– after the first 12 months, 40 percent of your high-3, minus 60 percent of any Social Security disability benefit;
– when you reach age 62, your disability benefit will be converted to a regular annuity, calculated as if you had worked to age 62, multiplied by 1.1 percent, and increased by any COLAs payable from that time to age 62.
I am reciving disability but reason move to tijuana mexico my daughter was to report to s.s.office andshe stayed with my debit card i would like a new one and applied for my retirement
I am reciving disability but reason move to tijuana mexico my daughter was to report to s.s.office andshe stayed with my debit card i would like a new one and applied for my retirement
And put my money in a mexico bank account
I am reciving disability but reason move to tijuana mexico my daughter was to report to s.s.office andshe stayed with my debit card i would like a new one and applied for my retirement
And put my money in a mexico bank account
I am a 69 year city letter carrier with approximately 27 years of fers employment. I have become disabled from work because of my lower back since October 2020. My condition has improved and I requested reduced hours (4) and with lifting, walking and standing limitations but I have not been provided the opportunity but USPS. I applied for workman comp but it was disapproved. I’m currently within the 30 days of applying for an appeal. Can I backdate my immediate retirement to last October? Can I backdate Disability retirement to last October as I have not been paid since then? I’m collecting social security benefits as SSDI does not apply after you reach FRA.
Yes, you can
I worked as a PMR for 5.5 yrs and then as a PTF clerk for the last 13 yrs. I’m 54 yrs old, and due to a shoulder injury (that has yet to be proven a OWCP case) I’m unable to perform all of the duties of my job and I meet all of the criteria for disability retirement. Am I going to lose the contributions I’ve paid into? And how will my retirement benefits be calculated?
If you are approved for disability retirement, your retirement contributions and those of the government will be returned to you in your annuity. To find out how your disability annuity will be calculated, go to https://www.opm.gov/retirement-services/publications-forms/csrsfers-handbook/c061.pdf and scroll to Section 61B2.1=3.
54 years old, 25 years as a mail carrier. Facing separation not being able to return to work within one year. Is disability retirement the best option or should I try for accomodation in a position suited to my limitations. I will be unable to work as a mail carrier. There is no guarantee the USPS will try to accomodate me. Thank you.
While accommodation may be a possibility, you should apply for disability retirement now while your agency can help you complete the necessary paperwork.
Thank you. I will be getting someone to help me with completing the necessary paperwork. I am currently receiving owcp benefits, which as long as they last may be better than electing disability retirement. I am trying to figure out the financial implications of each to make the best decision. There will be a significant third-party offset and my owcp benefits will be suspended until it is cleared. I don’t know how this period of suspended benefits will affect any separation, light-duty job offer, or vocational training activity. Medical clearance for return to any duty is still uncertain. I am reading as much as I can, but there is a huge amount of information. Can you give me any direction for any of these concerns?
Unfortunately, no.
I am a registered nurse working for a county hospital for 13 years. I am 49 years old and was diagnosed with lupus a year ago. What are my options about getting disability retirement when I turn 50 in a few months ? and what are my chances of getting social security disability ?
Because this is a site for federal employees and retirees, we aren’t qualified to answer your questions.
I retired after two injuries and got Disability Social Security in 2008 and at my regular social security date in 2012 my payment was changed to regular social security. Am I still considered disabled and should an insurance that had a rider to pay policy premium still pay my premiums?
Your question falls outside the boundaries of this forum. You’ll have to check with your insurance carrier.
An email with a lengthy question regarding regular FERS versus Usps disability retirement was sent to your registered email.
I haven’r received it.
I recently turned 62. Four years ago, I had my disability retirement approved by USPS. Unfortunately, social security did not approve my disability and didn’t receive any monthly benefit until I turned 62 and that was at the non disability dollar rate. Does my USPS disability retirement monthly annuity increase to what a voluntary immediate retirement is? And, since I turned 62 several months ago, will OPM process a lump sum payment to cover those several months.
Thank you.
Here are the rules for FERS disability retirees:
At age 62, your disability benefit will be recomputed. An artificial retirement benefit will be calculated as if you had worked to age 62, Therefore, actual service will be added to the time you spent on the disability rolls to age 62. The total time will then be multiplied by 1 percent (1.1 percent if your actual service plus time on disability equals 20 or more years of service). The total percentage amount will be multiplied by your high-3 at the onset of your disability, increased by all FERS cost-of-living adjustments payable from that time to age 62. If that benefit is greater than the one you were receiving, you’d be entitled to a make-up payment. If it isn’t, you wouldn’t.
I’m a Federal Employee with 27 years of service. The career field I’m in keeps injuring my shoulders. I’m currently getting ready for my fourth rotator surgery. I recently spoke with a lawyer who recommended I apply for Federal Employee Disability Retirement. I’m 54 years old. I will start to collect my Military Retirement at age 60. Do you have any advice? I’m also a injured veteran and if I’m excepted by FEDR will it effect my VA money? Thank you.
When you say Military Retirement, do you mean reserve retired pay?
If you are approved for disability retirement, it will have no affect on your entitlement to either your reserve retired pay or your VA benefits.
Yes, that is what I meant.
Mr. Jones, thank you for responding back. If there is anything else you can provide knowledge wise I would appreciate it. As I stated this is a scary decision for me to make. I don’t know how the health insurance will work or how the life insurance will work? I of course have both of these as a federal worker which I pay for but what happens if I’m excepted into the FEDR? Do I keep them? Does the amount get taken out of my pay? Is the FEDR better then trying to finish working until retirement age? Thanks again for your help.
If you are approved for disability retirement, your coverage under the FEHB and FEGLI programs will continue. Deduction for those coverages will be taken from your annuity. In most cases, the benefits available to FERS disability retirees are greater than those for employees who retire on a regular annuity. Note: When you apply for FERS disability retirement, you must also apply for Social Security Disability Insurance. If you don’t OPM won’t even consider your application.
One last question I hope you don’t mind. If I’m accepted into FEDR and lets say I’m also accepted for Social Security Disability Insurance would I be able to work part time in the civilian work force? or is there no working allowed at all? Thank you again!
According to OPM, “Earning capacity is considered restored if, in any calendar year, the annuitant’s income from wages or self-employment or both equals at least 80 percent of the current rate of pay for the position occupied immediately prior to retirement.” If you exceed that amount, your FERS disability annuity would stop. The rules are much stricter for Social Security Disability Insurance. To continue receiving SSDI benefits, you cannot engage in any substantial gainful activity.
I am 58 years old, a 100% disabled veteran, and although I have been on a career appointment I took a term appointment in DC to increase my high 3 for retirement purposes. My term appointment will end two months before I turn 60. I think my agency will extend my appointment at least to allow me to reach age 60. If I retire before age 60 I will get a hefty reduction in retirement pay. My health is deteriorating, and although a doctor wrote a reasonable accommodation letter for telework my supervisor did not allow complete telework. I don’t think I will be able to continue working and commuting until age 60 and I could apply for disability now and I believe I would be approved, but for personal financial reasons I prefer to wait until age 59. My understanding is that it takes about a year to get approval or denial of a disability retirement under FERS.
Is this the best way to proceed, to wait until I am 59? And would it be more financially beneficial for me to receive disability retirement versus regular retirement at age 60?
There is no reason to delay applying for disability retirement. The benefits you’d receive if approved would be the same whether you had only 18 months of service or as many years as you have. When you apply for disability retirement you must also apply for Social Security disability benefits (SSDI), otherwise OPM won’t process your application.
Thank you for your reply. I have one other question. If I apply for SSAN benefits and I am denied but was approved for FERS disability, what would happen if I applied for and received widows SSAN benefits from my spouses SSAN benefits. Would my FERS disability be reduced by the amount of the widows SSAN benefits or only from my personal SSAN benefits?
I forgot to add I was eligible to retire in 2018 and have been working from home for the last 3 years or more due to my disability. Degenerative discs, rotator surgery in need of total knee replacements. I use walking aids in and outside the home. I believe I have the time but not the age. I need advice on how to retire medically. What steps do I take? I am under FERS and partially CRS
Your agency personnel office is required to help you through the steps needed to apply for disability retirement. However, since you already meet the age and service requirement for voluntary retirement, when you apply for disability retirement you will have your annuity calculated using the earned annuity calculation. See BAL-14-104: https://www.opm.gov/retirement-services/publications-forms/benefits-administration-letters/2014/14-104.pdf
I have 31 years working for the U.S.P.S. I am 54 years old and I’ve torn my rotator cuff 3 times! Once on the right and twice on the left! All of my injuries were approved on the job injuries and after talking to my doctor he said that it would be best to go out for disability retirement!
If you go to https://www.opm.gov/forms/pdf_fill/sf3112.pdf you’ll find the instructions and forms needed to file for disability retirement.
My wife suffered a similar injury to her right shoulder only and the doctor offered similar advice as well. In addition to filing for Federal Employee Disability Retirement, consider a simultaneous filing with SSA as well. If you qualify for SSA disability, you would receive disability benefits until age 66, then it converts to full SSA retirement benefits. Best of luck.
Thanks for sharing this with us.
In March 2020, If you become retirement eligible under FERS (60 years old), but have a disability, should you retire or apply for federal disability retirement?
You’ll have to compare what you’d receive from a regular retirement with what you’d receive from a disability retirement. If the difference in favor of a disability retirement is small enough, it might be sensible to take regular retirement. That way you’d save yourself the paperwork and doctor’s bills needed to establish your eligibility.
So, I have been told, that if eligible for retirement within a few months, and the disability paperwork is filed and has to go to OPM, which might take 9 months to 1 year to approve, that because I was eligible for retirement that I could not get disability retirement. So, are you saying that is not the case?
That is not the case. No one can prevent you from applying for disability retirement.
Hi Mr Jones…I was approved for ssdi benefits while on owcp from the USPS. I’m 61. Will be 62 in February of 2021. Should I apply for retirement disability or regular disability…and what would happen to the owcp payments and my pension…also is annuity and pension the same thing….thanks so much…need help ASAP…confused.
Are you covered by CSRS or FERS?
40yr old TSA worker on the job for 14yrs dealing with mental health issues that affect work with TSA but most likely not qualify for SSD. Would I be able to apply for retirement disability?
Yes, you would. Your local personnel office can explain how you do that and provide you with the necessary paperwork.
I have worked for a school system for 14 years and have had rheumatoid arthritis for 13 years.
What would be better:
1. disability retirement through the state
2. regular retirement along with disability through social security
And, if you are approved for disability through social security Or the state – can you receive/extend your medical insurance coverage?
Thank you.
Since this is a site for federal employees and retirees, I’m not qualified to answer your questions.
Hi Mr Jones…I was approved for ssdi benefits while on owcp from the USPS. I’m 61. Will be 62 in February of 2021. Should I apply for retirement disability or regular disability…and what would happen to the owcp payments and my pension…also is annuity and pension the same thing….thanks so much…need help ASAP…confused.
There are a lot of variables to consider. To find the answers you’re looking for, go to https://www.opm.gov/retirement-services/publications-forms/csrsfers-handbook/c102.pdf?nocache=1
Once you hit 62 and they re-calculate your retirement is it at 60% or 40% and do they still deduct Social Security? do you get both full Social Security and 60%or 40% of your Highest three? Will they still deduct Social Security?
When you reach age 62, an artificial retirement benefit will be calculated as if you had worked to age 62. To do this, actual service will be added to the time you spent on disability retirement. The total time will then be multiplied by 1 percent (1.1 percent if your actual service plus time spent on disability equals 20 or more years of service). The total percentage will then be multiplied by your high-3 that existed at the onset of your disability, increased by any FERS COLAs payable from that time to age 62. You will continue to receive your Social Security benefit. Note: Social Security deductions are never taken from retirement annuities.
Mr. Jones, I have worked for USPS for 16 years and have been out of work since October for work related trauma involving Formal EEO complaints. I have OJI’s sustained during service. I am currently under the care of health care providers and it’s been recommended that I should file for Medical Disability. I am aware of having to file through both OPM and SSDI if this route is taken. I’m just very concerned with the limited amount of service years and my current age what that might look like for me financially moving forward. I am a single mother of 4 children and am 33 so very far off from full retirement age. Any advice you might have regarding my concerns is greatly appreciated! Thank you so much for your help, advice, guidance, and time! Have a Blessed and Peaceful Weekend, God Bless and stay safe!
If you are approved for FERS disability retirement, for the first 12 months you’d receive 60 percent of your high-3 average salary, minus 100 percent of any Social Security disability benefits. After the first 12 months you’d receive 40 percent of your high-3, minus 60 percent of any Social Security disability benefits. At age 62 your disability benefit would be recomputed as if you had worked to age 62. That total time would then be multiplied by 1 percent (1.1 percent if the total time equaled 20 or more years). The result would be multiplied by your high-3 on the date you went on disability retirement, increased by any COLAs payable from that time to age 62. Note: You must apply for Social Security disability benefits at the same time you apply for a FERS disability annuity, otherwise OPM wouldn’t process your application.
I was 36 just shy of 20 years I retired from the federal government in 94 drawing 40% I am now over 62 do they recompute my retirement per month or how does that work?
At age 62 your FERS disability annuity will be recaculated as if you had worked to age 62. Your actual service will be added to the time you spent on the disability rolls. The the total time will be multiplied by 1.1 percent. That percentage will be multiplied by the high-3 you had on the day you went on disability, increased by by cost-of living adjustments payable from that time to age 62.
Thank you.
I’ve called and I haven’t heard anything I haven’t seen a change in my monthly payment so it must take a long time for them to act upon this.my birthday is in April all most 5 month and no increase!
I have a question if I am disabled and applied and received social security disability and at the same time I retired from the USPS and I get the supplement till I am 62 would I make more if I also filed for disability thru the postal service or more from the retirement and supplement. I guess what I’m asking is while I’m collecting social security disability is it better to get retirement and supplement or apply for disability thru USPS?
If you have the age and years of service needed to retire on an immediate annuity, it would make better financial sense to do that and then apply for Social Security disability benefits.
Does social security off set apply to those that retire on CSRS on disability and at age 62 is your annuity recomputed as it is under FERS?
No, the Social Security Offset doesn’t apply to CSRS disability retirees. Your disability benefit will continue as long as you live; and any Social Security benefit you may be entitled to based on non-CSRS work will be subject to the windfall elimination provision of law.
hello, FERS employee age 47 with 10+yrs and currently on light duty. starting the medical retirement process while working full time and hopefully up until receiving benefits.
1. Vague info- SSDI wont process AT ALL until not working is a FACT! OPM won’t start process W/O SSDI started is unclear with one exception I read and lost. I do believe they will start but no answers yet.
2. Covid delays are expected according to RABAS.
3. What are your thoughts please.
You must apply for SSDI at the same time you apply for a FERS disability benefit, otherwise OPM won’t review your case.
so there is no way to work during the process?
You can work; however your application for SSDI cannot be processed until you are off the rolls.
thank you
You’re welcome.
update; FERS will not even process until off the rolls as well.
including LWOP, OWCP or in pay status.
they need the final SF50 showing removal.
so there is no way to project your date to receive compensation with covid on top
of potential initial delays or refusals.
so if you have a legitimate disability you will have to hang on if the employer allows
I suppose to maintain insurance on kids for instance. or maybe its faster if they do a
FIT For Duty..
not an Ideal system
Hello,
I have 36 years Federal years and my MRA +10 would be July 15th this year, basically August 1st. I had to start my Medical Retirement a few months ago and have not been working since August 2020, but will run out of Sick and Annual Leave this month. HRSSC called me today and asked me if I wanted to change to my medical retirement to optional retirement???
I told her that I thought I couldn’t optionally retire until I reach my my MRA + 10 in August???
Then she told me that OPM probably won’t get my paperwork from HRSSC until July anyway and that OPM would change it to regular retirement?
Do I have a choice and/or which one would be better?
Thank you.
I’m not sure what you mean when you say that you’ve started your medical retirement a few months ago and have been continuing in a pay status through the use of annual and sick leave. If you were approved by OPM for disability retirement, you’d no longer be on your agency’s rolls but instead be receiving an annuity from them. If on the other hand, you mean that you’ve been using your remaining annual and sick leave to carry you through until you reached retirement age while you wait for OPM to approve your application to retire on disability, I can understand your problem. Unless OPM finishes that process before you run out of leave, you’d probably be separated from the service. You need to find out if your agency would be willing to put you in LWOP status until the matter is settled. If not, your agency would separate you from the service and you’d be without income until the matter was settled. The only good news is that your health and life insurance coverage would continue for 31 days at no expense to you. Note: The HRSSC person who told you that it would be all right to retire now because OPM wouldn’t get your paperwork until you had reached your MRA was wrong. The date you left your agency would be on the paperwork sent to OPM. Whether OPM received it the next day or just before Christmas wouldn’t make any difference. You wouldn’t have been eligible to retire and your retirement application would be rejected. Then your only option would be to apply for a deferred annuity under the MRA+10 provision, leaving you with an annuity reduced by 5 percent for every year you are under age 60.
Hello,
I retired from USPS meeting the MRA with 30 years. I filed for SSDI and receive it. I also, applied for disability retirement before I was awarded SSDI. I received a letter from OPM 2 months after collecting SSDI. It looks to me that I may be losing some income by now by being approved for USPS disability retirement. So, my question is can I tell OPM that I no longer want the disability retirement, to leave it the way it is as immediate retirement? I’m afraid that after taking out for my health insurance and life insurance, there may not be anything to collect from OPM, or worse that I won’t make enough to actually pay for my withholdings.
Yes, you can cancel your disability retirement. For proof, go to https://www.opm.gov/retirement-services/publications-forms/csrsfers-handbook/c060.pdf and scroll to Section 60A5.1-1A, which applies to both CSRS and FERS employees.
I am 60 years old VA federal disability retiree. I recently retired on 1/8/2021. I received a letter from OPM that I was also eligible for Fers retirement under Voluntary MRS+30 and receive a Fers annuity of $881 and annuity supplement of $668 a month until age 62 which is almost half of what I’m currently getting. I feel that I am getting the greater benefits now. Am I correct to stay with disability and continue with my FGLI & FGHI. Confused.
It makes financial sense for you to remain as a disability retiree. At age 62, your disability annuity will be converted to a regular annuity. Your new annuity will computed as if you had worked to age 62. Your actual service will be added to the time you spent on the disability rolls. That total time will be be multiplied by 1.1 percent. Then that total percentage amount will be multiplied by your high-3 existing at the onset of your disability, increased by all cost-of-living (COLA) adjustments payable from that time to age 62.
I’m on disability retirement due to fibromyalsia and depression after some very bad experiences with a supervisor. I qualified for ssdi. I know would like to try to work part-time with my previous profession in hair part-time. I’m not sure if I will be able to, the USPS really affected my mind. If I do am I in danger of losing benefits?
You aren’t in danger of losing your disability benefit if your earnings during any calendar year don’t exceed 80 percent of the current rate of basic pay for the position you held before you retired.
Sir I’m retired military of 28 years and have been a Federal employee for the last 13 years as a GS-4 so I know FERS retirement pay won’t be much maybe $400 a month I’m guessing, I was diagnosed with Head and Neck cancer this past December 2021 and been going through treatment, my question is I’ll be 61 next month in April should Just put in for Regular retirement or medical disability retirement, since my retirement pay won’t be that much it just seems easier to just put in for Regular retirement and apply for social security disability, please give me your input, thank you.