Q. I am eligible to receive the special retirement supplement; however, I do receive rental income. Is rental income considered “ordinary income” that would reduce or eliminate the SRS?
Browsing: Special retirement supplement
In April, the Republican budget proposal included a provision that would eliminate the special retirement supplement. The SRS bridges the day you retire and age 62, when you’ll first be eligible for a Social Security benefit. The SRS is based on your years of actual FERS service. It doesn’t include any other Social Security-covered employment, such as work in the private sector or active duty service in the armed forces, even if you made a deposit to the retirement system to get credit for that time.
Q. I’m retiring soon at the mandatory age for firefighters at 57 years old after 30 years of service. I understand the Social Security Administration supplement will be paid out until age 62. Can the supplement continue past 62 if I choose to wait to elect collecting Social Security until age 67, the full-retirement age? I’m staying at the fire department until the last possible day before the mandatory age requirement kicks in, but I’m concerned of a potential five-year gap and/or not receiving the supplement between ages 62-67. If the supplement stops entirely at 62, then I’d feel a bit…
Q. I’m 24 years retired from the military and currently a federal employee under FERS. The Employee Benefits Information System reflects I am eligible for MRA+10 by December 2024. By then, I am 56 years old. Will I be illegible for SRS if I retire at my minimum retirement age?
Q. I’ve been with the government for 32 years and have based my TSP contributions on having the special retirement supplement when I’m eligible to retire in six years. Can Congress approve the budget and eliminate something that’s been promised to millions of federal employees just like that? This seems like a breach of contract and illegal. Am I wrong about that? Wouldn’t current employees have to be grandfathered in?
Q. I am retiring under discontinued service at 54 years old. I will get my FERS annuity, and when I reach my minimum retirement age, the special retirement supplement. I want to work part time. What is the max amount that I can earn? What will be the difference in loss of benefits between a federal job and a nonfederal job?
Q. There has been talk that the FERS supplemental is going to be done away with. Will it be replaced with another supplemental? What was the purpose of the supplemental in the first place? The cost of living has not gone down — it continues to go up each year. FERS employees will need some to bridge the gap before they can draw Social Security.
Q. Is it true that any FERS employee who leaves government and postpones the annuity to avoid the age reduction would not get the special retirement supplement? I ask because I have reached my minimum retirement age of 56, with 26 years of service. What would happen if I left the government for another job and postponed my annuity until age 60?
Q. I’m looking into buying my military service time, waiving my military retirement and retiring with 37 (20 military plus 17 government service) years creditable service at 56 years old. Am I entitled to the special retirement supplement?