Q: My husband recently turned 62 and applied for Social Security benefits. He is a previous Civil Service Retirement System employee, so we know that his Social Security benefit will be reduced. The problem is that he was previously married and must pay his ex-spouse a large portion of his CSRS retirement. Yet when his retirement income from CSRS was taken into account in order to offset his benefits, the Social Security Administration used his gross benefit amount and did not subtract the annuity for his former spouse. This reduced his benefits by a large portion. Why is it that…
Author Reg Jones
Reg Jones
Reg Jones was head of retirement and insurance policy at the Office of Personnel Management. Email your retirement-related questions to fedexperts@federaltimes.com.
Q: I have heard that the new health care law requires all federal employees to pay income tax on the government-paid portion of our heath care plan’s cost. Is this true? A: No, it isn’t true. What is true is that in 2018, a 40 percent tax will be levied on health insurance plans that cost more than $10,200 per individual or $27,500 per family. The tax will be on any coverage that exceeds the limit. Those figures will be based on the combined contributions of enrollees and the government, and the expense will likely be passed on to consumers.…
Q: I spent two years (2004-2006) working for the Veterans Affairs Department at a work-study position in Buffalo, N.Y. Does this time in any way count toward Federal Employees Retirement System retirement eligibility or annuity computation? A: No, it doesn’t count.
Q: For the 2010 year, what is the last day for U.S. Postal Service bargaining unit employees to reduce their annual leave to 440 hours? Is it Jan. 1, 2011? Is it true that the following year, we would have until Jan. 14, 2012? A: The 2010 leave year ends Jan. 1, 2011. The 2011 leave year ends Dec. 31, 2011, and the 2012 leave year ends Jan. 12, 2013.
Q: I am at an activity that was to be realigned and relocated from California to Virginia. The realignment was completed, and the relocation is in process. I will be relocating to Virginia in the first week of January, prior to the end of the leave year. Will my use-or-lose annual leave hours, as of my relocation date, be restored under 5 U.S.C. 6304(d)(3)? A: If you accompany your organization to its new duty location. you will receive a lump-sum payment for hours in excess of the 240 at the time of your move and will no longer be eligible…
Q: I need to know any rules, regulations or laws that cover the service computation date. I am prior military with more than 20 years of total service and 10 years of active-duty service, and my agency is not taking that time into consideration for leave purposes. A: The Office of Personnel Management has a VetGuide that will answer your question. Scroll down to “Service Credit for Leave Rate Accrual and Retirement.”
Q: My spouse is a civil service employee and is planning to retire within the next eight months. He is 64 years old and will be 65 in March. He could have retired at age 55 but did not because of personal reasons. His health is beginning to fail him now, and he cannot continue to work in his current capacity. He worked more than 10 years at other companies before joining the civil service. He can receive full retirement benefits from the Civil Service Retirement System, but he is also eligible for a very small Social Security check, they…
Q: I’m retired Army chief warrant officer 3 and worked 13 years as an Army contractor. I’ve been in civil service for nine months as a logistics management specialist. Can my 13 years of contracting time in a job similar to what I do presently be counted toward pay and leave time for the civil service? If so, what forms do I need to submit? I am getting conflicting information. A: No, it can’t.
Q: I am an employee with U.S. Customs and Border Protection in a covered 6(c) law enforcement position. I have 19 6(c) law enforcement years for retirement purposes. I am also in the National Guard. If I enter the active-duty Army and take leave without pay for the next five years, which years would be included to make up my “high 3” for retirement purposes under the Federal Employees Retirement System? Is the high-3 calculation based on actual money earned (i.e., the three years prior to entering active duty with the military), or is it based on my paygrade and…
Q: I am need to clarify whether disability retirement becomes nontaxable once a person reaches retirement age. I cannot get a clear answer from the Office of Personnel Management or the Internal Revenue Service. I have gone over IRS Publications 721 and 525. My father left the Post Office on disability in 1972. He is now 78 years old, and I am trying to file his tax returns. He is not eligible for Social Security. A: There isn’t a tax break for a federal disability retiree unless he is totally disabled for all gainful employment. The retiree’s age has no…