Q: If Congress passes the part-time employee equity act this fall, how would this impact a CSRS Offset employee with the last 20 years of service as a part-time employee? Would it make a substantial difference in the retirement benefit calculation to wait until this act passes before retiring? A: Where have you been? As of Oct. 28, 2009, Public Law 111-84 changed the way CSRS part-time employment would be calculated. To learn how that change would affect you, go to www.federaltimes.com. At my site, click on “read more.” Under Retirement, click on CSRS annuity computation, then continue to scroll…
Browsing: CSRS offset
Q: I retired on July 3 under CSRS Offset (law enforcement/firefighter). I just received the lump sum payment for my unused annual leave. Deductions for federal and state taxes and Medicare were taken out. There was no deduction for CSRS Offset retirement (typically 1.3 percent), but 6.2 percent was deducted for OASDI. Is the lack of deduction for CSRS-Offset retirement and the deduction for OASDI correct? It seems that it should have been both or neither. A: There weren’t any deductions for CSRS Offset retirement because you are no longer an employee. On the other hand, the lump-sum payment is…
Q: I’m a CSRS Offset employee. I was wondering if I retire immediately and start my Social Security payments if my total annuity amount would be less than if I waited until I was 66 to start collecting Social Security. Or will my total annuity remain the same regardless when I start my Social Security? A: Your CSRS annuity will be offset automatically at age 62 by the amount of Social Security benefit you earned while covered by CSRS Offset. The total amount you receive will be the same; it will just come from two different places, OPM and the…
Q: I took an early-out retirement in 2003 and have been working for the Army in Hawaii as a contractor since 2004. I have a few questions I’d like confirmation on. My position has been insourced, and I will be offered a job as a rehired annuitant to provide critical skills missing from current workforce. Under this critical skills scenario, I have been told there will be no decrement to my current CSRS Offset retirement monthly payment to offset my government salary, is that correct? Will I have any type of 401(k)-like program that I can contribute pre-tax dollars to? Do I get to participate in the…
Q: I began my civil service career in August 1972 and resigned in August 1980. When I left, I was covered under the Civil Service Retirement System. I returned to work in December 1984 and was a CSRS Offset employee. At that time, I could find no one who could explain to me what “Offset” meant. Then the push for employees to move to the Federal Employees Retirement System began, and since no one seemed able to explain to me what “Offset” meant, and I had to make a decision by a certain date, I made the uninformed decision to…
Q: In previous responses, you indicated that when a lump-sum base closure and realignment payment is made, federal and state income taxes, as well as Medicare deductions, will come out of the payment. You also indicated Social Security deductions can be taken out. As a Civil Service Retirement System employee, I do not pay into Social Security. Does that mean that no CSRS retirement payments will be taken out? Also, the lump sum will be close to $80,000 and should be paid in my last paycheck; are there any limitations on payouts? A: Social Security deductions would only be made…
Q: I am 54 years old and just recently returned to the federal government. I have been placed in CSRS Offset and my time is running out to determine if I want to go to the Federal Employees Retirement System. I previously worked for the federal government for 10 years between 1982 and 1992, under the Civil Service Retirement System and have 22 years of substantial earnings in the private sector. Which retirement system would be the best choice based on my background? Also, do CSRS Offset employees earn Social Security substantial earning credits on their years, while employed with…
Q: I was a Civil Service Retirement System employee who quit after eight years of service to take care of my ailing mother. After the what I believe is the three year window for rehire into CSRS, I never tried to go back. It has been 20 years. Recently, I have heard of a legal case that might allow me to be rehired under CSRS. Under what circumstances could I now go back as a CSRS rehire? When I was hired originally in 1981, I was eligible for a GS-9, but took a much lower grade so I could get…
Q: I left federal civil service in 1982 after 17 1/2 years of service, and I am considering returning on a part-time (50 percent) basis. I had more than seven months of unused sick leave when I left; will I get the unused sick leave reinstated? What amount of sick leave will I earn? At what rate will I earn annual leave? Also, I was under the Civil Service Retirement System when I left. If I return to civil service, will I go back under CSRS, would I go under the Federal Employees Retirement System, or would I have a…
Q: I am a Civil Service Retirement System optionally retired rehired annuitant. Because I am under CSRS for retirement, is my salary as a rehired annuitant subject to Social Security withholding? A: As a pure CSRS rehire, you aren’t subject to Social Security deductions unless you were hired as a senior official. If you were, you’d be covered by CSRS Offset, and Social Security deductions would be mandatory.