Q: I am contemplating retiring under a Voluntary Early Retirement Authority (VERA)/Voluntary Separation Incentive Payment (VSIP) authorization that expires Sep. 30, 2011. I realize I will take a two year, one month penalty. My question is, as a CSRS retiree, if I return to employment outside of the federal government, what is the maximum percentage of earnings I can make without affecting my annuity? A: Whether you get a job in or out of the federal government, there wouldn’t be any limit on the amount of money you can earn after you retire. However, if you returned to work for…
Browsing: Early retirement
Q: I will be 52 years old in June and will have 20 years of service in September 2011. Five years of that was as a temporary employee. Could I be eligible to take an early out on the offer of adding five years to my age and five to my service? I do not participate in medical insurance here so that would not be a consideration for me. A: Because your non-deduction service was performed after December 31, 1988, that time isn’t creditable for any retirement purpose. As for having five years added to your service time and age…
Q: Is there a FERS early out penalty (five per year under MRA or 60, etc?)? If I took an early-out with 25 years of service at 53 years old would my retirement (not TSP) be reduced a percentage for each year under MRA or 60? A: Under FERS, the age penalty is waived for any employee who accepts an early retirement offer.
Q: Regarding the article in the May 16 Federal Times “How to Calculate SRS Benefit”: The first paragraph says that employees are trying to find out what their annuities would be if they get the opportunity to retire early or are RIF’d. However, the article doesn’t seem to address retiring early until the second to last paragraph. So if someone is 50 years old with 20 years of service of any age with 25, which is the criteria to retire early, they won’t get the special retirement supplement? They would have to be the MRA with 20 or 25 years…
Q: I am a CSRS employee with 29 years, one month of service to date. I took the survey asking if I would consider early retirement and, if so, when. I said I would and would like to leave in December. I would be four months short of my 30 years. I have more than 600 hours of sick leave as well. What would happen to my sick leave? A: After you met the criteria to retire, your unused hours of sick leave would be combined with any hours of actual service time that don’t add up to a full…
Q: I’m a CSRS employee who is thinking of taking an early out if offered. My age will be 54 years and 2 months, so I will have a penalty. I was told the penalty goes away once I reach 55. Is that true? A: No, it isn’t true. The reduction in your annuity for being under age 55 would be permanent.
Q: I recently received an early retirement survey. I filled it out and said I would accept it. Some of my co-workers also said they would accept it. But everyone I talked to said they really wouldn’t take it. One guy said his wife wouldn’t let him. One said, “I just said yes so it would help others get it.” One said yes to the survey, but he really couldn’t leave this early as he is only 49 years old. How will this affect the offer? They should know that everyone that said yes will not do it, right? A:…
Q: My Agency has been authorized to offer employees an early out and buyout program this year with the requirement of being off the roles by Oct. 3, 2011. This is three days before I turn 55. However, I meet the years-in-service requirement. What will be the penalty if I take the early out/buyout three days before I turn 55 on Oct. 6.? A: At retirement age and service are counted in years and full months. Because you would be one month shy of your 55th birthday, your annuity would be reduced by roughly 1/6 percent.
Q: I was recently offered voluntary early retirement from the U.S. Postal Service. I have 30 1/2 years of credible service, I am under the Federal Employees Retirement System, and I am 51 years old. I am also considered a reduction-in-force employee because our district office has been closed. Do I qualify for the special retirement supplement? A: You would be eligible for the special retirement supplement when you reach your minimum retirement age, which is 56.
Q: My wife could receive an offer to retire early sometime this year because of budget cuts. She is 57 years old and has 27 years of federal service under the Federal Employees Retirement System. She will receive the FERS annuity supplement supplement until she is 62. Will she have to start taking her Social Security benefits at age 62 because she is receiving the annuity supplement, or can she hold off taking her Social Security until a later date? A: While the special retirement supplement ends at age 62, there is no requirement that a retiree apply for a…