Actuarial reduction


Q. Once the actuarial reduction in an annuity is determined, does it ever increase? Or does it remain a constant amount for as long as the retiree receives his/her CSRS annuity?

A. It is a permanent one-time reduction. For example, if the original annuity was $50,000 and the reduction was 10 percent, $45,000 would be the new annuity base.


About Author

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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