Q: I am a Civil Service Retirement System Offset annuitant hired in 1968. In 1985, our branch of government was taken over by the private sector. The private sector bought all of my federal service. In 2002, there was a reduction In force. I was eligible for an early retirement at age 51 and therefore receive two retirement checks: One for federal service and the other for my time purchased by the private sector. As a CSRS Offset employee, at age 62 I am subject to the Offset Social Security calculations but also have the same time purchased by the…
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Q: I will be retiring from federal service at age 58 with 35 years of service under the Civil Service Retirement System. I have been paying the 1.45 percent Medicare biweekly payment since its inception in 1983. Will this tax be deducted from my monthly CSRS annuity until I reach age 65? And, without 40 quarters of paying into Social Security, does paying the Medicare tax for 17 years qualify me for free Medicare Part A? A: Deductions for Medicare Part A are only required for those who have earnings from wages or self-employment, not annuities. The fact that you…
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: I retired from the Army in 2007 and receive both military retirement pay and Veterans Affairs Department disability pay. I immediately went to work for the federal government under the Federal Employees Retirement System. When I retire from government employment, will I be paid all of the following: military retirement pay, VA disability pay, FERS retirement pay and Social Security benefits? A: Yes, you would be able to receive all four benefits. Just remember that your FERS retirement annuity would be based solely on your years of civilian service unless you chose to make a deposit for your years…
Q. I read some of your responses to questions regarding this subject and I’m still confused. So, here are my questions: I retired from the federal government with 36 years of service under the Civil Service Retirement System. My wife is qualified for Social Security when she reaches the appropriate age. Will she be able to draw her full Social Security benefits? Also, if I am qualified for Social Security, 40+ quarters paid in, will I be able to draw some minimum amount? Please explain your answers or provide a reference so I can look up the particulars. A. The fact…
Q: Has the government considered raising the earnings limit, given the financial strain many seniors are facing? Why does COLA have to be tied to the earnings limit? A: The method used to determine the Social Security earnings limit and cost-of-living adjustments are governed by the same law, and are based on the CPI-W. Because the CPI-W has stayed in negative territory, no adjustments were made in 2010, and none will be made in 2011.
Q: If I choose to take the Social Security supplement, is it true you get 75 percent of what you are eligible for at the age of 62? At the age of 62, will my benefit be reduced because I drew dollars from there? If so, how much? Example: If my SS statement says $1,000.00 at the age of 62, will I receive $750.00 each month? At the age of 62, will I receive $1,000.00 each month? Thank you. A: First, you don’t have a choice. If you are eligible for the special retirement supplement, you’ll receive it in your…
Q: Can you explain CSRS Offset to me. In January 2011, I’ll have 25 years in civil service and I am thinking about retiring next year at age 63. I have paid in a lot of social security over the years and very little civil service retirement. A: CSRS Offset employees are covered by CSRS and Social Security. When you retire, your CSRS annuity will be offset by the amount of Social Security benefit you earned while covered by CSRS Offset. The amount you receive will be the same; however, it will come from two different places, OPM and the…
Q: I am receiving disability from FERS. The dates of service are incorrect and I should have 13.5 years of federal service instead of the 5 years OPM has listed. I’m in the process of appealing Social Security disability. If I don’t get the dates of service issue rectified prior to receiving the SS disability award, will the proceeds be comingled and therefore more difficult to determine the appropriate award? If I should get to a point where I am able to go back to work, how will this affect retirement disability? Thank You! A: Under FERS during the first…
Q: I am 58 years old and a CSRS employee with 33 years of service. During the past 30 years I have paid and accumulated 14 years of “substantial” earning under to Social Security. If I am still working when I am 62, can I apply for Social Security benefits without the WEP decreasing my payments? Is it correct that WEP only takes effect once the individual retires from federal service? A: While the windfall elimination provision doesn’t apply until you retire, if you apply for a Social Security benefit at age 62, you will be subject to the Social…