Browsing: disability pay

Q: I am a federal employee who will soon be going in for open-heart surgery. I am 58 years old and will be 59 in March. I have until I’m 60 to reach 20 years of service for early retirement. I am also a retired E-6. What would happen if the doctor after the operation says I can no longer work? Would I be given 100 percent disability of my base pay? A: As an employee under the Federal Employees Retirement System, if you were approved by the Office of Personnel Management for disability retirement, during the first 12 months…

Q: The secretary of Defense authorized agencies to rehire annuitants with full pay and full annuities on March 18, 2004. If I retire under disability (through the Federal Employees Retirement System) and am rehired under this authority, am I still subject to the Office of Personnel Management’s 80 percent rule, whereby I would lose my disability annuity if I earn more than 80 percent of my former salary? A: Disability annuitants cannot be hired under this authority.

Q: I am need to clarify whether disability retirement becomes nontaxable once a person reaches retirement age. I cannot get a clear answer from the Office of Personnel Management or the Internal Revenue Service. I have gone over IRS Publications 721 and 525. My father left the Post Office on disability in 1972. He is now 78 years old, and I am trying to file his tax returns. He is not eligible for Social Security. A: There isn’t a tax break for a federal disability retiree unless he is totally disabled for all gainful employment. The retiree’s age has no…

Q: I was retired medically from the Army with less than 20 years of service. My health improved enough for me to work at the U.S. Postal Service. I was then called back to active duty to complete my 20 years of service, serving an additional three years and eight months. I returned to the USPS in 2005. I retired from the Army with a military pension and Veterans Affairs Department disability of 50 percent. Can I still receive my military pension and VA disability and buy back only those years I returned to active duty to get credit for…

Q: I am a Vietnam vet and plan to apply for disability with the Veterans Affairs Department based on one of the illnesses caused by Agent Orange. I was in the Army for two years. I also plan to retire under the Civil Service Retirement System with 37 years of service in about 10 months. I am also eligible for a small Social Security check. If VA grants my service-related disability will my CSRS or Social Security check be reduced by the amount of the VA disability payment? A: No, neither payment would be reduced.

Q: I suffered a stroke on the job with the U.S Postal Service, and I recieve disabilty pay from the USPS. I also applied for and recieve disabilty pay from Social Security. When I had the stroke, I had enough sick leave to hold me over until I was approved for Federal Employees Retirement System disabilty pay. Social Security gave me the back pay. Do I have to pay this money back? Also, will my FERS disability pay be reduced since I get Social Securirty disability pay? A: Yes, your FERS disability annuity will be affected by your Social Security…