Q. My problem, as noted below, is that I have combined legislative, military and federal service. I purchased my military service years ago, while in the legislative branch. I know the legislative branch calculates their annuity at a higher rate than do other federal agencies. I’m not sure what that rate is and I have yet to find a calculator that can factor in the combined time/pay to come up with a annuity estimate. My question is, how is legislative service calculated and how is it factored into my ultimate annuity? For the sake of discussion, my basic info is…
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Q: I am a federal law enforcement officer covered by FERS with more than 20 years of service under FERS, but I have not reached the minimum retirement age of 50. Due to plans to transfer me, I must either separate myself from my family, find another job or retire early. My question concerns the viability of the early retirement option. If I retire at 47 with more than 20 years as a federal LEO, what happens? Do my benefits get deferred and, if so, to when? Is there also a financial penalty and, if so, how much? A: You…
Q: My husband was forced to retire from the Defense Department due to base closures in 1999. He was 45, and combined with his navy and shipyard time he had 25 years in. He took the retirement and has worked in the private sector since. He has an opportunity to work at the Veterans Hospital and was wondering what it would do to his retirement. He gets about $20,000 a year in retirement and the job pays $25 per hour. Any help is welcome. A: It depends entirely on the nature of his appointment. If he takes a government job,…
Q: I am retiring soon under the Federal Employees Retirement System and my spouse is already retired under the Civil Service Retirement System. Should I die before her, will she be able to collect unreduced Social Security survivor’s benefits? A: No, she won’t. Her survivor benefit will be subject to the government pension offset provision of the law, which will reduce that benefit by $2 for every $3 she receives in her CSRS annuity.
Q: I am covered by the Civil Service Retirement System with 41 years of service. I was all set to retire this year when they finally phased in the locality pay. There is a clause for those retiring between January 2010 and December 2012 that says we can have the locality pay included in our base pay for annuity purposes. It is my understanding that I would have to work the full three years and then pay the additional CSRS withholding for my high-3 to have locality pay included all three years. What if I want to retire at the…
Q: I am hoping to retire with 20 years as a 6c law enforcement officer. I have approximately 10 additional years of federal service (noncovered). Will the annuity for these noncovered 10 years be computed at a 2 percent rate? Will the rate be the high-3 of those 10 years (noncovered) or the high-3 of the covered service? A: If you have 20 years of covered service as a law enforcement officer, the special, more generous annuity computation will be used to compute that part of your annuity (0.025 x your high-3 x 20 years). Any years of service over 20, whether covered or not, will…
Q: I’m thinking of retiring and wondering if there is anything that precludes an individual from retiring one day and coming back to work as a federal employee the next? A: Not that I’m aware of. However, there are some things you need to keep in mind. If you were to take early retirement, when you returned to work your annuity would be canceled and you would be treated as any regular employee with the same age and service. And you wouldn’t be eligible to retire again until you met the age and service requirements. On the other hand, if…
Q: I recently retired at age 56, air traffic control mandatory retirement, with 36 years in the Civil Service Retirement System. A desirable position for which I am qualified has become available with a local Transportation Security Administration unit. If rehired at TSA, would I be under the Federal Employees Retirement System or CSRS? If I’m under FERS, could I retain full CSRS annuity? If rehired into CSRS, what are some factors to consider: annual leave rate, recomputation of CSRS annuity, etc.? I would like to work until age 62, when my wife can retire and would be very close to maximum…
Q: Is the Special Retirement Supplement check taxable each month? A: The Special Retirement Supplement is included in your annuity payment and is taxed at the same rate.
Q: I am a federal employee under the Civil Service Retirement System with 35 years of service, and I am 60 years old. I plan on working another two to five years. If I die before I retire, will my wife automatically receive a full CSRS survivorship annuity? I plan on selecting a full survivorship annuity when I do retire but was wondering what happens if I don’t make it. A: Yes, if you were to die before retiring, your widow would automatically receive a full survivor annuity. The only exception to this rule is if there is a court…