Q. If I were to retire Jan. 3, 2013, and will turn 55 on July 7, how is the CSRS early retirement penalty computed? Is it by days or months? A. In months, with a reduction of 1/6 percent per month.
Browsing: Early retirement
Q. I turned 54 in December. I will have 14 years of service by June. Our Postal Service facility is rumored to give an early-out by September. Will I qualify to take an early-out via the deferred MRA+10? A. You wouldn’t qualify for an early-out because your minimum retirement age is 56. However, you could resign and apply for a deferred annuity when you reach age 62.
Q. At the age of 56 (born 1958), I will have 27 years of service, but the agency is moving to another location and I would like to retire at that time. Would I be eligible to receive FERS with 27 years at a reduced rate? If eligible, would I also receive the supplemental until Social Security starts at 62? A. If you receive an official notice of separation and aren’t offered an equivalent position within your commuting area, you’d be eligible for early retirement. As such, you’d receive an immediate annuity based on the standard formula (0.01 x high-3…
Q. I’m a CSRS employee. Is it possible to take a penalty retirement with age (55) and less than 30 years of service? What about 30+ years but not 55? A. The only way you could retire without being at least 55 and having at least 30 years of service would be if your agency offered you an opportunity to retire early under the Voluntary Early Retirement Authority. Employees who have at least 20 years of service can retire at age 50 or with 25 at any age. However, if they are under age 55, their annuities will be permanently…
Q. I work as nurse for a Veterans Affairs Department hospital and am eligible to retire as I am going to be 62 in August 2012 and will have worked for five years. Can I use my annual leave (550 hours) to retire early? There is no reduction in force. Will I have to request that I take the annual leave from management and get approval from my supervisor? A. No, you cannot use your annual leave to retire early, either by trading it in or by taking every hour until you hit your proposed retirement date. There is no…
Q. I am being offered early retirement and must be separated from the service no later than July 31. What is the earliest date I could leave? A. If you meet the age and service requirements, you can retire at any time between the date on which the offer is made and the date on which it ends.
Q. Employee will have 30 years of CSRS service in 2012, but will be 50 years old. When is the employee’s first available chance for early retirement, and will there be penalties to computing their pay? A. Employees who are offered an opportunity to retire early and have at least 25 years of service can retire at any age. However, your annuity would be permanently reduced by 2 percent for every year you were under age 56 (1/6 percent per month).
Q. I will have 25 years of service soon but will only be 48. If the government offers early-outs, what will I be eligible for? Pension at one-quarter of my salary for the last three years? Health insurance? What if I get a part-time job? Will this affect my pension or annuity? Also, if I do an annuity on my Thrift Savings Plan, can I start that now? Will there be a penalty? Do I get this same amount for the rest of my life, or does it stop after a certain number of years? A. Reg Jones: Because you…
Q. I retired in 1995 from the Army after 15 years and two days under the early retirement option offered. I have been working for the federal government for over 16 years. I have not bought back any military service; I draw a military pension and disability pay. I divorced my spouse in 2006; she waived all rights to my current federal annuity, Thrift Savings Plan, etc., but does receive half of my military pension and the other half as spousal maintenance outlined in the divorce decree. Would it be legal to buy back my military service credit and convert…
Q. I’ve been in FERS for 26 years. I’m waiting for an early-out, but if that doesn’t happen I was thinking of bidding on a part-time or nontraditional job with fewer than 40 hours a week. How would this affect my retirement based on the high-3 average used to calculate annuity? My minimum retirement age is 56, so in 2014 I will have 28.7 years. Will I be penalized if I retire then? Will it be 5 percent for every year under 62? A. Your high-3 will be based on the average annual rate of basic pay during your highest…