Q: What are the available annuity options for a federal employee with 19 years of service under the Foreign Service Retirement and Disability System (FSRDS) and an additional 21 years under the Civil Service Retirement System? A former spouse has an entitlement for the 19 years under FSRDS, and a current spouse has entitlement for the 21 years in CSRS. Is there an option for two separate annuity computations? Also, what are the various benefits included in a lump-sum payment from the Office of Personnel Management? A: If you don’t take steps to combine your service, you would be eligible…
Browsing: lump-sum payments
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…