Annuity computation


Q. I’m a law enforcement officer with 16 years federal service. I also have three years federal service (non-LEO).  I’m looking at deferred retirement next year with 20 years of federal service and being able to draw my retirement at age 60, I’m currently 52. According to all I have read, the following would be how I calculate the income.
Base pay  80,000 X 17years X 1.7 for law enforcement.
Base pay 80,000 X 3 years X 1 for non-law enforcement federal service.
I have bought back 13 years prior military service but not sure where this counts.
Could you please review this and tell me if I’m figuring the amounts out correctly?
A. You didn’t figure the amounts correctly. Because you haven’t completed 20 years of  actual service as a FERS law enforcement officer, that time would be treated as regular FERS service. When you retire, your annuity would be computed using the standard formula: .01 x your high-3 x all your years of service (both actual  and active-duty service for which you’ve made a deposit). With 33 years of service, your annuity would be $26,400 (.01 x $80,000 x 33).


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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

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