Q. I am currently enrolled in a federal self-only, health care insurance plan. I plan to retire in about three years. I know that in most cases I have to be enrolled for at least five years to continue my coverage into retirement. (I will have been.) Do I need to be enrolled in a plan that covers my spouse for at least five years before retirement in order for her to receive coverage after my retirement? If no, what would the deadline be, if any, for enrolling in a plan that covers her if I want her to have…
Q. I am 56 years old with almost 35 years service. I am thinking about retiring in a few months. Is the federal income tax withheld, (in retirement) the same percentage taken out while working? I’m just working with some figures, so I’ll know how much my monthly check will be. What is the percentage in retirement? A. According to OPM, “Generally, unless you specify a monthly withholding rate or amount, we withhold Federal income tax as if you are married and claiming three allowances. Use Service Online to start, change, or stop the Federal tax withheld from your annuity…
Q. I have not seen this question answered and I know my situation applies to hundreds of employees. I was employed as an air traffic controller for 17.5 years before my branch of Air Traffic (Flight Service) was privatized. Not being eligible for retirement, I was willing but unable to secure another local federal position (air traffic or otherwise), so I went to work for the winning contractor (Lockheed Martin). When Lockheed closed my air traffic facility, I was unemployed. I eventually was rehired by the FAA for a much lower-graded administrative position. For 17.5 years as an air traffic…
Q. I have 34 years under CSRS. I am planning to retire at the end of the year. I am also a retired Army reservist. Can I received credit for my initial active-duty time and annual training time that occurred prior to entering civilian federal service towards my CSRS retirement? A. Probably. However, you’ll need to complete Form RI-90-97, Estimated Earnings During Military Service, and mail it to your branch of service along with a copy of your DD Form(s) 214, Report of Transfer or Discharge, or similar document(s). When you get a reply, take it along with a copy…
Q. I am a current CSRS employee and work for the Department of Energy. The department has recently proposed to reduce federal full-time employees by 30 percent by the end of fiscal 2012. One of the methods being considered is early outs and buyouts, including up to $25,000. Instead of cash buyouts, has any federal agency considered and/or been approved to provide years of service in lieu of cash? If this were allowed by OPM the near-term costs, 2 percent per year, would be minimal and the agency would not have to come up with the budget to cover the…
Q. I worked for the Army Corps of Engineers for the summers of 1973 through 1978. I remember someone telling me that each summer would count as a full year if I went ahead and became a federal employee. Is there any truth in that? A. None whatsoever.
Q. I am 49 years old with 22 years of federal service. I am in FERS. Is there any situation whereby I can voluntarily retire at 50, keep my health benefits (me plus spouse) for life and receive an immediate annuity next year? Side notes: My MRA is 57 and I have had health insurance (Blue Cross Blue Shield family for 15 years). Am I looking at a 5 percent a year reduction (to 57 or 62)? Would the supplemental annuity (at age 57) go away? Finally, how would a VERA (or something similar) change my situation and are we…
Q. I am a FERS employee with 27 years of service, age 66. I would like to retire the end of May. Would the best date to retire be May 30 or June 1? A. If you retire at the end of May, you will be on the annuity roll in June. If you retire on June 1, you won’t be on the annuity roll until July 1.
With downsizing a likely step as the government adjusts to budget realities, questions have been pouring in about how agencies will handle staff reductions. Outside of relying on attrition, agencies have two options to get their numbers down while softening the blow for employees: the Voluntary Early Retirement Authority (VERA) and the Voluntary Separation Incentive Program (VSIP). Under VERA, an agency can offer employees an opportunity to retire early. The Office of Personnel Management designates the specific geographic area and occupations where the VERA applies. It also stipulates the time during which the “early outs” will be offered. If needed…
Q. Once you submit your retirement paperwork, then you change your mind, can you pull it back at any time prior to your retirement date? Also, why doesn’t OPM send you a notice that your owe CSRS Redeposit? I left the federal government some 30 years ago and pulled out my CSRS retirement. When I came back in, I was told that I only had to pay that back if I went back into the CSRS system. As with most people, I probably didn’t pay too much attention to the paperwork I was signing (if I did at all) stating the…