Q: After reading all the horror stories about the windfall elimination provision and Social Security demanding payback of erroneous payments, I’m writing to verify my Civil Service Retirement System Offset and WEP reductions. I have 22 years of CSRS service, from 1973 to 1995, put in 13-plus years of nonfederal work, and then was re-employed with the federal government as a CSRS Offset employee in 2008. I plan to retire at 62 with 27 years, 8 months of federal service, with about five years of that under CSRS offset. My personnel office says that I am not subject to the…
Browsing: CSRS
Q: I am 65 years old and will be 66 in January. I am contemplating retirement from the federal government. I worked in the private sector for more than 20 years and switched over to the government in 1985. I am under the Civil Service Retirement system. I was informed by a co-worker that my Social Security benefits, which I am counting on heavily to support my family, will be reduced substantially because I am under CSRS. Is this true? A: Your Social Security benefit would only be affected if you have fewer than 30 years of Social Security-covered employment.…
Q: I’m under the Civil Service Retirement System and have a period of about one year of nondeduction service immediately prior to Oct. 1, 1982. I also have about a year of nondeduction service starting Oct. 1, 1982. Which would it make more sense to make a deposit for, the year prior to Oct. 1, 1982, or the year commencing on that date? A: For nondeduction service performed before Oct. 1, 1982, you have the option of making a deposit and having your annuity reduced by 10 percent of the amount that would have been deducted from your salary plus…
Q: I retired at age 57 as a Civil Service Retirement System Offset employee. I’ve enjoyed a private industry position but have learned that at age 62, my CSRS annuity will be reduced. I can retire through the Social Security Administration to recoup the reduced amount, but will be subject to an earnings limit which wipes out the entire SSA pension. Am I missing something? Are offset retirees subject to the SSA earnings limits? A: Yes, they are. The earnings test will reduce your Social Security benefit by $1 for every $2 you earn above the limit, which is $14,160…
Q: I understand that under the Civil Service Retirement System, we can use unused sick leave toward federal service time that is used to determine the amount of time considered under the CSRS retirement pay formula. Also, I understand that under CSRS, the maximum time allowed is 42 years, which translates to 80 percent of the average salary in a worker’s “high-3” years. My questions are, if someone is covered by CSRS, if they add up their military and civil service time and get 42 years, can unused sick leave be added to the 42 years to get more than…
Q: I am a civilian federal employee who started with the government in September 1986. Is it true that no retirement deductions were taken until Jan. 1, 1989? If this is true, how can I get credit for the two-plus years during which no deductions were taken? A: If you were hired into a position that required deductions from your pay, you would have been covered by Civil Service Retirement Offset (CSRS and Social Security) for the months preceding Jan. 1, 1987, when the Federal Employees Retirement System went online. Your CSRS Offset time would have been converted to FERS…
Q: I retired with Civil Service Retirement System at 50 years old with 25 years’ law enforcement service. I’ve been self-employed for the past three years and reached my 40 quarters, including my pre-federal employment. I make a decent self-employment income now at around $90,000, and pay substantial Social Security quarterly payments. My concern is that basically the offset is going to take away most of my Social Security pay at 62/65. That said, are my payments to Social Security still mandatory? I realize my quarterly taxes are, and the IRS distributes them accordingly. A: Deductions for Social Security are…
Q: I worked for the federal government from 1968 to 1986, then worked in the private sector from 1987 to 2005. I withdrew my retirement money when I left government service. If I return to federal service, should I opt to be placed in the Federal Employees Retirement System or Civil Service Retirement System? I assume it would make sense to re-deposit the money I withdrew and pay the interest? A: If you returned to work for the government you would be placed in CSRS Offset (CSRS and Social Security) with the option of transferring to FERS. Even if you…
Q: I have a situation with a Civil Service Retirement System retired employee who was charged and convicted of workers’ compensation fraud. Part of his plea agreement states that he must pay back over $100,000 in restitution. His defense attorney proposed in court that the government should attempt to get the entire amount paid to the courts utilizing the money that was paid into his pension, which is being paid out by the Office of Personnel Management. Is this possible? Can a retired employee petition or apply for large sums of money to be extracted from his retirement? We found…
Q: I have a situation with a Civil Service Retirement System retired employee who was charged and convicted of workers’ compensation fraud. Part of his plea agreement states that he must pay back over $100,000 in restitution. His defense attorney proposed in court that the government should attempt to get the entire amount paid to the courts utilizing the money that was paid into his pension, which is being paid out by the Office of Personnel Management. Is this possible? Can a retired employee petition or apply for large sums of money to be extracted from his retirement? We found…