Q. I started on March 2, 1992, when is a good time for me to retire? My birthday is Dec. 12, 1950. A. I have no idea when would be a good time for you to retire. What I can tell you is that because you are already 60 years old, you can retire when you have 20 years of service.
Q. I did four years in the Marine Corps, got out in June 1993 and did a year in the Army National Guard, started a government job (FERS) in December 1996 and my service computation date for leave is June 1991. I just received a 20 year pin. Something seems wrong here. A. Although you received credit for that period of active- duty service in determining your leave accrual rate, unless you have made a deposit to the civilian retirement system, you won’t receive any credit for it in your annuity computation when you retire.
In my Aug. 15 column, I went over the basic criteria that determine disability retirement eligibility. In this column, I’ll explain how disability annuities are calculated. Under CSRS If you are a Civil Service Retirement System employee, your annuity will be the higher of your earned annuity or a guaranteed minimum annuity. Your earned annuity, as with any other CSRS annuity, is the sum of three factors: 1.5 percent of the average of your highest three consecutive annual salaries, your high-three, multiplied by five years of service; plus 1.75 percent of your high-three, multiplied by five more years of service;…
Q. I have 44 years and eight months with the U.S. Postal Service. Having suffered a heart attack and stroke two years ago, I am currently on sick leave which will expire in November. My concern is disability retirement versus regular retirement. My understanding of disability retirement is that there are no federal and state taxes to pay. I live in California, which has high state taxes. Should I apply for disability. A. Under current law, there is no federal tax benefit for retiring on disability under either CSRS or FERS unless you are totally disabled for all gainful employment,…
Q. I started at the Transportation Security Administration in late June of 2002 with a temporary appointment for which time there were no retirement deductions. I was then made permanent in November 2002. Can I buy back the six months of temporary time so that it will be added to my government service for computation of my FERS pension? A. Nondeduction service performed on or after Jan. 1, 1989, isn’t creditable for either eligibility or computation purposes, nor may you make a deposit to get credit for it.
Q. I am covered by CSRS and I’ve worked under the legislative branch for 16 years and the executive branch for 12 years. How will my retirement annuity be affected by working under the different branches? I am being offered an early out. I see mentioned the enhanced formula will be used for the legislative branch service but do not know what that is. A. Your service as an employee of the legislative branch will be calculated as follows: 2.5 percent x your high-3 x your years and full months of legislative branch service. Your executive branch service will be…
Q. I am eligible for federal employment reinstatement with military preference. I was a GS-12 Step 3 with six years of seniority. I left federal employment in 1986. If I am reinstated as a GS-12, will I re-enter at Step 3 or Step 1? Will I retain my six years of seniority plus four years for my military service? A. The fact that you are reinstatement eligible doesn’t mean that you have automatic entitlement to a particular grade or step. You’ll have to find a position for which you are qualified and apply for it. Depending on your qualifications, you…
Q. I am a 61-year-old CSRS employee. I have 41 years and five months of federal service. If I decide to retire on Dec. 31, I will have 1,200 hours or more of unused sick leave. My high 3 is $104, 992. Will I meet the 80 percent limit? Also what is the most or least I can give for spousal annuity? A. You are referring to the limit that says when you retire, your earned annuity — excluding any unused sick leave — can’t exceed 80 percent of your high-3. To reach the 80 percent limit, you’d have to…
Q. I am a retired FERS postal employee receiving a reduced annuity based on a 50 percent survivor benefit for my wife. She is an active postal employee set to retire at the end of the year. She is a FERS employee caught up in the FERRCA situation and designated as CSRS Interim/Offset. We have been told that if I die, she would not receive the 50 percent survivor annuity. Also, that if she elects the 50 percent survivor benefit for me and she should pass away, that I would not receive her annuity because we are both federal employees…
Q. At age 53, I’m considering my first federal career. My DD214’s add up to more than seven years of active-duty service, (three years of post-9/11 active duty). I do not want to work 20 years to obtain a federal retirement so am considering buying federal seniority with my active-duty time. Can I buy the seven years and retire in 13 years? Is 20 years the minimum for federal retirement? What if I work for only 10 years? Is there any retirement given the fact I’ll be 63 or 65 at 12 years? If I buy seniority, will this effect…