Q. If I were to have 20 years of creditable FERS service at age 50; then resign and wait until age 62 to claim the FERS annuity, which formula would be used to calculate my annuity: the standard one (0.01) or the alternative one (0.011)? My confusion on this matter is whether I must be continuously employed until age 62 (for the 0.011 calculation), or can I resign from federal service at 50, wait until 62 to claim annuity, and still have it figured at the 0.011 formula? A. All deferred annuities are calculated using the standard formula, not the…
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Q. My retirement plan is CSRS Offset. I will have 32 years of civil service time in December. I have been a GS-6, Step 10 for the past seven years. Before that, I was a GS-7, Step 9, and before that, I was a GS-5, Step 10. If I work until I have 35 years of service, what will be the percentage of my high-3. Some people say 60 percent, and 80 percent if I work until I have 40 years of service. Is that correct? A. Nothing those people told you is correct. Stop listening to them. To receive…
Q. I have 27+ years as a federal firefighter (72-hour weekly shifts) and planning retirement Nov. 30 (at age 54). My date of hire was July 1985, which gives me 27 years and four months. For calculating my estimated Social Security supplement, I was told that 1985 would not count because it wasn’t a full year and 2012 would not count because I am not working a full year also. My credible time for federal Social Security supplement = 26 years even though I have 27 1/3. For example, Social Security estimate $1400 divided by 40 = $35. $35 x…
Q. Current age: 56 Entered U.S. Navy active duty: May 1978 Active-duty military time: 11 years, four months Retired reservist after 26 years as an O-5 Entered civil service: November 1997 Current paygrade: GS-9, Step 8 Received a $30,000 severance pay when released from active duty in January 1989 Points accumulated, active and reserve, for retirement: 5,245 What do I need to do to retire at the end of this year? I know you can’t tell me what I should do, but if you could give me guidance as to what I need to do so I can make an…
Q. I retired after 31 years of government service at age 62. Prior to retirement, I applied for Social Security and was granted, allowing me to receive my benefits. I should add that I was under CSRS. When my annuity was calculated, I was told that they would deduct/offset a certain amount for Social Security because I decided to receive Social Security at age 62. Once I reach 65, will that money stop being deducted? Can I count on it monthly after I reach 65? A. The reduction is permanent.
Q. I am in FERS with 18 years of federal service. Will my FERS pension be calculated on base pay (gross) or net pay after TSP contributions? A. It will be calculated on basic pay. To see what’s included in basic pay, go to www.opm.gov/retire/pubs/handbook/C030.pdf and scroll down to Section 30A.1-2.
Q. I was hired in 1985 as rural carrier relief, then converted to rural carrier associate. I became full time in January 1995. I was allowed to buy back time for 1985-89. Do I receive full credit for four years toward retirement? How is the time from 1985-89 counted? A. You’ll find the method used to compute an annuity that includes part-time service at www.opm.gov/pubs/handbook/C055.pdf.
Q. To calculate a FERS annuity supplement, do you use the Social Security estimate for age 62, or your full retirement age estimate? A. Age 62.
Q. I worked as a GS clinical nurse from Sept. 12, 1999, to Sept. 24, 2005 — a total of six years. On May 10, 2010, I returned to federal service as a GS clinical nurse. My service computation date was determined to be Feb. 8, 2008. How was this date arrived at? I previously worked from February 1991 to January 1996 as a GS worker and foolishly took my retirement monies out. I know I have lost that time. But that should not cause me to lose three years of service time, should it? A. Unless you re-deposit the…
Q. I have been working with the federal government for eight years. I am vested in a retirement program. I earn $69,000 a year. How much will my retirement income be after I retire? A. FERS employees can retire when they meet one of the following age and service combination: age 62 with five years of service; 60 with 20; at their minimum retirement age with 30; and at their MRA+10 (at least 10 years of service but fewer than 30) with a reduction of 5 percent for every year they are under age 62. MRAs range from 55 to 57,…