Q. I retired from the Postal Service in 2006 under CSRS. With all of the turmoil surrounding the post office, is my pension still safe? A. The Postal Service has nothing to do with your annuity. Your connection to it ended on the day you retired. The payments you receive are made by the U.S. Treasury and taken from the Civil Service Retirement and Disability Fund.
Browsing: CSRS
Q. I’m a traditional CSRS employee with 35 years and no break in federal service. My retirement contributions have been taxed over the years through the bi-weekly payroll deductions. I also paid $5,000 to get credit for military time. When I retire, will some of my monthly annuity check be exempt from taxation since it is considered return of principal? How is this amount calculated? A. Your answer is in the Internal Revenue Service’s Tax Guide to U.S. Civil Service Retirement Benefits. You can download a copy at www.irs.gov/pub/irs-pdf/p721.pdf.
Q. My husband passed away in 2005. He worked for the post office. I receive CSRS survivor benefits. I have legal permanent custody of my 4-year-old grandson. Is he entitled to survivor benefits as my dependent? A. No. Dependents acquired by a survivor after an employee or retiree dies aren’t eligible for survivor benefits.
Q. I retired from the military in 1980 after 20 years and receive my Navy retirement. I started working as a CSRS employee with a service computation date of November 1979. I have been receiving my full Social Security since attaining full retirement age. I plan on retiring from CSRS in January 2014 with 35 years of CSRS service with no military buyback. Will I have any offset since my Social Security was based on my military and private employment and not CSRS? A. Because you will be receiving an annuity from a retirement system where you didn’t pay Social…
Q. I am with USPS and am in CSRS. I began working in 1973 and quit in 1977, at which time I withdrew my retirement money. I returned to USPS in 1983 and am still with them. Do I need to redeposit the money I withdrew to get credit for 33 years of service? If I do not redeposit the money, will my annuity be decreased and if so by how much? A. Because you took a refund of your retirement contributions before Feb. 28, 1991, you’ll still get credit for that time in determining your years of service; however,…
Q. I am a 56-year-old CSRS employee with 29 years of federal service. I am a noncompetitive federal employee as a full-time National Guard technician. I pay into Social Security on the guard side and into CSRS on the technician side. When the windfall elimination provision is applied, how is the SS annuity calculated? A. Your Social Security benefit will be based on all your years of Social Security covered employment. However, because you’ll be receiving an annuity from CSRS — a retirement system where you didn’t pay Social Security taxes — you’ll be subject to the windfall elimination provision…
Q. I’m 59 years old and have 38 years government service under CSRS. I have 39 quarters Social Security paid in. Do I only have to work one more quarter to qualify for Social Security by the time I’m 62? Someone told me I had to work so many quarters in the last 10 years. A. You only have to have 40 credits under Social Security to qualify for a Social Security benefit at age 62. Just be aware that if you are still working when you apply for that benefit, it will be affected by the annual earnings limit,…
Q. I am a civil service employee under CSRS. What is the maximum number of leave hours I can cash in at the time of retirement: 448? More? If the answer is more than 448, can you explain how you came to a different number of hours? Note: I am not a bargaining unit employee. My maximum yearly carryover is 240. A. For most employees, the maximum number of annual leave hours for which they can be paid a lump sum at retirement is the amount carried over from the previous year (a maximum of 240 hours) plus the amount…
Q. I am a civil service employee under CSRS. What is the maximum number of leave hours I can cash in at the time of retirement: 448? More? If the answer is more than 448, can you explain how you came to a different number of hours? Note: I am not a bargaining unit employee. My maximum yearly carryover is 240. A. For most employees, the maximum number of annual leave hours for which they can be paid a lump sum at retirement is the amount carried over from the previous year (a maximum of 240 hours) plus the amount…
Q. I am 59 years old with 38 years in CSRS. I am planning to retire next year, but I am concerned about what changes Obama may make to CSRS now that he has been re-elected. Also, I am wondering what the guidelines are for phased retirement? Although there is no way to predict what a president might do, it’s not something you need to worry about. You are already eligible to retire and could do so before any change became effective. To find out more about phased retirement, go to www.opm.gov/Blogs/Retire/2012/9/25/Phased-Retirement.