Q. In the 2012 Federal Retirement Handbook, it states that if you meet the following age and service requirements — age 62 and five years — you are entitled to an immediate retirement benefit. I will be 65 years old in May, so I already meet the first requirement. In June, I will have been a federal civilian employee for two years. However, I have 12.3 years of Air Force (1971 to 1984) service, and I plan to make the required deposit so the 12.3 years becomes part of my federal creditable service. Therefore, in June, I will have 14.3…
Browsing: military buyback
Q. What are the tax benefits, if any, for buying back my military time into my FERS? In 2012, I paid close to $11,000 to buy back my military time into my FERS. Now I’m finishing up my 2012 taxes and I’m curious if there is any kind of adjustment/deduction for having shelled out $11,000 toward retirement?
Q. The following statement was made in an answer to a question ask about post-1956 deposit: “You can’t get a refund of the deposit you made for your active-duty service. What’s done is done. If you retire at age 62 and aren’t eligible for a Social Security benefit at that time, you’ll never have to worry about losing those years and having your annuity recomputed.” I will retire at age 60 and have paid in a post-1956 deposit. I am in CSRS and will have 41 years and eight months with the post-56 deposit (eight years, six months of military…
Q. I was injured in a severe motor vehicle accident and unable (because of doctor’s orders) to return to work. The agency sent me a letter stating that I should return to work and violate the restrictions, apply for FERS disability, or be terminated. I chose to apply for FERS disability and was denied, and now the agency is in the process of terminating me. I am still under doctor’s restrictions. I am over age 50 and have 21 years of combined service: 16.5 military, which I bought back, and seven civil service if they count my leave without pay…
Q. Is there a calculator where you can enter your service type (FERS vs. CSRS), military buyback years and months, current high-3 and projected retirement age to get an accurate retirement estimate? A. You’ll find what you’re looking for at www.fedbens.us.
Q. I am a FERS employee. I have 18 years of civil service and five years of Air Force service that I bought back for a total of 23 creditable years. I will reach my 30-year service mark long before my minimum retirement age of 57½. How is retirement calculated if I decide to go past the 30 years putting me at 38½ years of civil service and the MRA of 57½? I have heard that for each year over 30 you get additional percentage points.
Q. I am buying back my active-duty military service time to be applied to my federal retirement annuity amount. What factors determine the 3 percent rate for the military deposit? In other words, how is 3 percent derived as opposed to some other percentage?
Q. I’m looking to retire sometime this year. I turn 66 on April 2, have 13 years at the Veterans Affairs Department, from which I withdrew funds. I worked in the private sector until 1995, when I started working for the Postal Service. I am under CSRS Offset, and I have essentially bought back my four years in the military. So the total years at the Postal Service would be 18 years + 4 years military = 22 years. Can you explain to me how the offset will apply to me? Will I be able to receive Social Security?
Q. I am a FERS employee planning on retiring at age 65, when I will have 15 years of federal civilian employment. I also paid the deposit to purchase six years of active duty. Can my six years of purchased active duty be combined with my 15 federal civilian years, to be eligible for the Age 62 or Older at Separation With 20 or More Years of Service higher 1.1% FERS formula? A. Yes.
Q. I have eight years and 10 months of federal time and 20 years of active-duty service for which I’m receiving military retired pay. Can I buy or use a portion of my military time to make up 10 years? Would that increase my retirement substantially? I’m told I would receive retirement going back to age 62 to now — I’m 64. A. You have a choice. You can continue to receive your military retired pay and continue to work until you have 10 years of civilian service, or you can make a deposit to get credit for your 20…