Q. My agency will be offering early retirement this year, and I am confused as to whether I will be penalized if I accept it. I have 25½ years of service and will turn 50 in October. What are the negatives for my taking an early retirement — that is, penalties, loss of benefits, etc.? A. If you accepted the early retirement offer, your annuity would be based on the standard FERS formula and your years and full months of service. You’d also receive credit for half of your unused sick leave in your annuity computation. Further, the 5 percent…
Browsing: special retirement supplement
Q. I am a VA employee with 31 years of VA service and three years in the Marine Corps. I am 60. If I qualify for a FERS MRA+30 retirement (which I believe I do), would it make a significant difference in the monthly SS portion of my benefits if I bought back my three years of military time before I actually retired? A. Making a deposit for that time would increase the amount of your annuity; however, it would not affect your special retirement supplement or your actual Social Security benefit.
Q. I am 55 and was hired Dec. 29, 1984, under CSRS and forced into FERS when it was implemented. I have since paid a deposit for four years of military service, and according to my SF-50, my service computation date is Dec. 29, 1981. I want to retire Dec. 29 with 32 years. With 28 years of federal service and 4 years of deposit paid military time, for a total of 32 years, will I be eligible for the FERS special retirement supplement? Or will I have to complete two more years of FERS to be eligible for the…
Q. I am a FERS employee considering buying back my service time. I retired after 23 years in the Army. I’m 49 years old and have five years of federal time as of 2013. Would it be in my best interest to buy back my military time and put it toward federal retirement? What would be the impact? A. Here’s the upside. If you make a deposit to get credit for your active-duty service, you’d have 28 years of creditable service. If you retired at your minimum retirement age (56), you’d have 35 years of service and your annuity would…
Q. I’m a Postal Service employee under FERS, eligible for the Voluntary Early Retirement Authority. If I take the early-out, I’ll have 26 years and nine months of service and I’ll be 55 years of age at the time of last day of service. I’ll be 56 in June. I understand that if I take the early-out, I don’t have to have 30 years of service to get a percentage of the special retirement supplement, based on 26 years of service (that would put me at about 65 percent of what I would get from Social Security at age 62,…
Q. I am a foreign service officer and plan to retire at age 51 under FSPS (similar to FERS). FSOs may retire as early as age 50 if they have at least 20 years of service. I had understood that the Social Security earned income limit (currently $14,160) would be applied to my annuity supplement (like FERS supplement) after my first year of retirement. However, another FSO who is already retired told me that her tax accountant told her that income over the $14,160 earned income limit does not reduce the FSPS annuity supplement until the retiree reaches 56 years…
Q. I recently received my FERS benefit estimate from the Postal Service regarding the Voluntary Early Retirement Authority offering to all eligible clerks. I am 53 years old with 27 years and 11 months of service. Am I eligible for the special retirement supplement (It was not included on my estimate I received)? If I am not eligible because of my age, will it be added to my annuity by the Office of Personnel Management when I turn 56? A. Although you are too young to be eligible for the special retirement supplement now, you will begin receiving it when you…
Q. I recently received my FERS benefit estimate from the Postal Service regarding the Voluntary Early Retirement Authority offering to all eligible clerks. I am 53 years old with 27 years and 11 months of service. Am I eligible for the special retirement supplement (It was not included on my estimate I received)? If I am not eligible because of my age, will it be added to my annuity by the Office of Personnel Management when I turn 56? A. Although you are too young to be eligible for the special retirement supplement now, you will begin receiving it when you…
Q. I turn 56 in August. Is the earnings test calculated from Jan. 1 or after my birthday? A. The Office of Personnel Management only reduces the special retirement supplement of FERS retirees after it is notified by the Social Security Administration. Give them a call at 1-800-772-1213.
Q. I am a Postal Service employee with 28 years of service. I am 58 years old and am considering the Voluntary Early Retirement Authority offer. I have gone to the Social Security website to find out how much I would receive at age 62. I need this number to calculate the amount that would be included with my FERS VERA annuity. Can you help? A. You can estimate what your special retirement supplement would be using the following formula: Take the Social Security benefit at age 62 provided to you by the Social Security Administration, multiply it by your…