Browsing: Postponed retirement

Q. I’m a FERS employee considering retiring under the MRA+10 provision. I’m 59 with 20 years of service. If I postpone the start of my annuity until I reach 60, I know there won’t be any reduction in my annuity. Will I also be eligible for the special retirement supplement if I postpone my annuity?

Q. I am a FERS retiree who postponed the receipt of my annuity. I want to start my annuity at age 62. With my current job, I have health benefits that I would like to continue until age 65. Must I elect for health insurance when I start the annuity, or can I pick up health insurance at age 65, at which time I would choose health insurance for both my husband and myself.

Q: I am a 49-year-old FERS employee with 27 years of service and am currently eligible for a VERA & VSIP. I am considering resigning or retiring for another non-federal position to remain in my current location. I would like to lock in my retirement and benefits eligibility, yet avoid all the reduction of purchase power the early retirement with no COLA until age 62 will result in. What is my best option to accomplish this? Am I eligible for a postponed retirement through VERA, and will that enable my eligibility for my health care, LTC, and life insurance? A: Because you…

Q: If one retires under FERS MRA+10, but postpones (not “defers”) taking the annuity, is half of the sick leave now creditable to time in service? I have determined that it is creditable for immediate annuities, but not for deferred annuities. I can find nothing pertaining to postponed annuities. Example: I plan to retire at age 59 with more than 28 years of service. I plan to postpone my annuity until I am 60 (November 2012) to avoid the age penalty. Will half of my sick leave be used to compute my service time? A: If you retire under on…

Q: Will I receive back pay if I wait to apply for my FERS retirement at 62? I postponed my retirement due to the penalty associated with starting before age 62. I have 15 years of service and am 61. I want to possibly wait to start my annuity because I do not want to be considered a re-employed annuitant when I apply for a job. I am currently on a temp appointment not covered by FERS and the next job will probably be a temp as well. I cannot get the job as a re-employed annuitant because the hiring…

My readers seem to be confused about two types of annuities: postponed and deferred. I think the misunderstanding arises because they are using the terms interchangeably. Let me explain the difference, which is a big one. Postponed annuity A postponed annuity is one where you retire after meeting the age and service requirements and postpone the receipt of your annuity until a later date. This option is only available to employees under the Federal Employees Retirement System who have reached their minimum retirement age (MRA) and have at least 10 years of creditable service. If you retire under the MRA+10…

Q: I am a federal employee covered under the Federal Employees Retirement System, and at age 49 will have just over 30 years of service with my military time that I bought back. Can I retire without penalty by postponing or deferring my annuity until my minimum retirement age of 56 years and 2 months, and reapply for the Federal Employees Health Benefits plan for my spouse, and draw on my Thrift Savings Plan, as well? Do I defer my annuity or postpone my annuity under this scenario? What is the better of the two options, or should I not…