Q. If my agency offers me a buyout, what does it mean to me? I am 54 years old. I will reach my minimum retirement age on Jan. 19, 2016. I have 23½ years of service under FERS. My agency is going through a big reorganization. Would you explain to me what it means to my retirement if I’m offered either of them? Will I be able to retire with no penalty?
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Q. I am a military reservist with more than 20 reserve and 17 active years. I was hired into GS about six months ago. I have calculated my military buyback and am prepared to buy it back (roughly $18,000). My breakeven is about 17 months after I retire at age 62 for the $18,000. So it is definitely worth it. I am considering going back to the private sector, where I should make at a minimum 1½ to two times what I make as a GS employee (I work in the IT field). I have crunched the numbers and the…
Q. I am a Defense Department FERS civilian. There’s a chance that where I am may offer a voluntary early retirement with an incentive of up to $25,000. If I decide to do an early retirement and receive up to $25,000, can I add that money onto my annuity?
Q. I plan on retiring Dec. 31, 2014. At that time, I will have 41 years of service as a CSRS employee. I will also have 2,500 hours of sick leave. Will the 2,500 hours of sick leave be added on for years of service? If so, would I be eligible for 42 years of service calculated at my high-3?
Q. If one retires under the MRA +10 provisions with a penalty, how does the Internal Revenue Service view this situation as far as determining your income? Are there any special tax consequences related to the penalty? Simplified example: John Smith retires at age 56 with 25 years of service and his pension before the penalty is $2,000 per month. He now takes a 30 percent reduction (5 percent for each year under 62) and receives $1,400 per month. How does the IRS treat the income and penalty?
Q. I was born in 1963 and am retired Air Force with 20 years and four months active duty (Dec. 9, 1981-April 1, 2002). I am also a civil service employee (April 8, 2002-present). How do I calculate if it’s worth it to buy back my 20 years and four months of military service? How can I compare what I will be getting — keeping the two retirements separate vs. waiving my military retirement check and adding that time to my civil service retirement? If I buy back the military time, does it then adjust my civil service start date…
Q. I retired on disability in 2008 in a 6(c) (law enforcement) position. I would have been eligible to retire this year (at age 52) had I not become disabled. When will my retirement be recalculated since I fall under the age 57 mandatory retirement?
Q. I am confused about sick leave and how it is computed to determine your basic annuity. 1. Is it credit for time served, or does it convert to a monetary value added to your high-3? 2. What are the benefits associated with carrying sick leave into retirement? 3. Is it 100 percent creditable for all sick leave as of January 2014, or is there a way for them to differentiate what leave will receive 50 percent and what leave will receive 100 percent?
Q. On May 21, you answered a question: “As a rule, FERS retirees don’t receive cost-of-living increases on their special retirement supplements, nor do they receive them on their annuities until they reach age 62. Note: Special category employees, such as law enforcement officers and firefighters, and disability retirees receive COLAs regardless of the age at which they retire.” My statement for Jan. 1, 2014, reflects a partial COLA (retired March 31, 2013) on the annuity but not on the SRS. Do special category employees such as law enforcement officers get COLAs on the SRS?
Q. I am a retired civil servant with Defense Department. I served for more than 28 years. I retired in June 2012 under FERS with a Voluntary Separation Incentive Pay. I am considering re-employment with DoD. 1. Will I be given credit for my 28 years of service? 2. Will I be able to contribute to FERS and the Thrift Savings Plan again? 3. Will I receive eight hours of annual leave again? 4. Will I be protected from a reduction in force because I am receiving an annuity? 5. Is it best to cancel my annuity if I return…