Q: I have 20 years in the 0081 special retirement program. With the military buy-back, I have 30 years of creditable federal service. If I accept a position as a fire program administrator for the next five years, at the age of 62, will I be able to retire under the special retirement firefighter program? A: Any employee who has 20 years of covered service as a law enforcement officer or firefighter and is at east 50 years old may retire at any time and have that portion of his annuity calculated using the more generous formula. Any service over…
Q: My wife and I work for the postal service and are covered under FERS. I carried the health insurance policy, because under federal law husband and wife cannot purchase single coverage. I’m going to reach retirement first and she’s going to retire four years after me. She will pick up the health insurance to save us money, but she’s not going to reach the five-year limit required by law. Should we have her pick up the insurance before her five years are up? My retirement is set for November 2013, and hers is set for March 2017. What happens…
Q: I retired from federal service 20 years ago. At that time the decision was made to receive the basic life insurance coverage and no survivor’s benefits. Have the laws changed in regard to benefits after retirement? Is it possible to sign up for additional life insurance or survivor’s benefits? I had a medical disability and receive a monthly check for income protection. A: No, the laws haven’t changed. You’re stuck with the decision you made when you retired.
Q: I retired at 55 with 30 years of service from CSRS. I did not pay into Social Security. My husband turned 65 and was told he was at full retirement age and receives Social Security. Can I draw Social Security benefits when I turn 65 or 66 off of him? Would it be decreased based on my retirement at age 65 or 66? A: Your age has nothing to do with it. Because you are receiving an annuity from CSRS, a retirement system where you didn’t pay Social Security taxes, you’ll be subject to the government pension offset provision…
Q: I am a 30-year Defense Department employee under CSRS who will become eligible for regular voluntary retirement on Jan. 4, 2012. There is buzz around my organization that there will be a VERA/VSIP with retirement dates being offered in September and December of 2011, but no real details yet. Would it be considered a VERA or a VSIP if the designated date for December retirees ended up being in the same pay period in which I become eligible (for example, Jan. 1-14, 2012) if the designated retirement date occurred before Jan. 4, 2012? Would this affect any incentive money…
Q: I don’t know what the established policy will be, but if I know ahead of time that they will implement the retirement annuity calculation with the high-5 vice high-3, could I retire before that expected implementation date and still have my annuity calculated with the high-three? Do you have any insight that there is a probability that this change will happen? A: During these unstable times, only a fool would attempt to predict the future of a proposal that would increase the high-3 to a high-5. However, since a bill to make that change could not be effective until…
Q: It has leaked out that FERS may be paying 5.8 percent instead of 0.8 percent toward retirement. What about Congress, law enforcement and other categories? A: The National Commission of Fiscal Responsibility and Reform recommended that the amount FERS employees and their employers contribute to the retirement fund be equalized. In other words, both would pay the same amount instead of the employer paying the bulk of the money needed to fund FERS employee retirement benefits. If that were done, the contribution rate for most FERS employees would jump from 0.08 percent to 4.15 percent. The rate for others…
Q: I have 30 years of service, 18½ under CSRS and 12 under CSRS Offset. When I began my career in 1979 I had four months under FICA, not CSRS. The four months will still count for service and calculating my annuity but unless I pay it back, 10 percent of the amount (which is $600 now) $60 will be deducted yearly from my annuity. Is it to my benefit to repay the $600 or have the monthly annuity reduced by $5 for rest of my retirement? If I live 20 years after retirement, $1,200 would have been reduced from…
Q: I am retired under CSRS from the postal service. I am 59 and do not qualify for Social Security. In a seminar before my retirement, I was told that the Social Security Administration will check my eligibility at age 62 and, if I am eligible, an adjustment would be made for Windfall Elimination Program. However, I was told if I became eligible for Social Security after 62 no adjustments would be made. I would receive Social Security based on what I earned when becoming qualified, probably around age 65. Is any of this accurate? A: What you were told…
Q: I am trying to determine if it’s worth buying back my military time. I retired from the Army in October 2009 with about 14 years active-duty and 17 years reserve service, including two mobilizations for Operation Iraqi Freedom. I also receive a Veterans Affairs Department disability check after my last deployment. I should begin receiving my military retired pay in April 2016 based on the “90 days for 90 days” rule for being mobilized after 2008. I work for the Veterans Health Administration. I was hired in November 2010, and I have no other federal service. What benefit would…