Q: I will retire as a CSRS-Offset participant in December of 2011 with 34 years of federal service and 30 years and six months of “substantial earnings” of Social Security credit. Will I be affected by the WEP? A: No. Although the windfall elimination would apply to you because you’ll be receiving an annuity in part from a retirement system where you didn’t pay Social Security taxes (CSRS, not CSRS Offset), the fact that you have at least 30 years of substantial earnings under Social Security will mean that there won’t be any reduction in your Social Security benefit. But…
Browsing: windfall elimination provision
Q: The Social Security website on the windfall elimination provision, at http://www.ssa.gov/pubs/10045.html, contains a list of exceptions to the applicability of the WEP. The first one states, “The Windfall Elimination Provision does not apply to survivors benefits.” It also does not apply if you are a federal worker first hired after Dec. 31, 1983. What is the nature of the exception for federal workers first hired after 1983? I accrued a Social Security exempt pension entitlement prior to first becoming a federal employee in 2007. Does that mean the WEP will not apply to my Social Security benefits when I…
Q: I recently went into the Social Security office and was given three different answers by three different people regarding offsets and the windfall elimination provision. I received an increase in my Social Security monthly payment for 2011 based on my 2009 earnings. In 2009, I made more then the minimum and qualified for another year (26 years now) toward my 30-year full exemption from the offset and windfall, so should Social Security also have given me an additional 5 percent because I now have one more year of substantial earnings toward my 30-year exemption? I was told by the…
Q. I had 40 quarters paid into Social Security before I went to work with the Veterans Affairs Department. I have retired with 30 years’ service with the VA. Why do I have my Social Security reduced by the windfall if I had 40 quarters already paid before federal employment? A. It’s not a question of when you earned enough credits to be eligible for a Social Security benefit, only if you did. The law is clear. If you receive an annuity — in whole or part — from a retirement system where you didn’t pay Social Security taxes, any Social Security…
Q. I will be retiring in 2011 with 38 years CSRS from the post office. My wife will be retiring in a couple of years but most of her retirement would be Social Security. How would the windfall elimination affect us? Even if we filed separately? A. The windfall elimination provision applies only to the Social Security benefit of someone who is receiving an annuity — in whole or part — from a retirement system, such as CSRS, where he didn’t pay Social Security taxes. If you will be entitled to a Social Security benefit based on your own work record,…
Q: I retired at age 55 with 34-plus years of service. I quit after 13 years of civil service and returned to civil service after 3 1/2 years of private employment. I just turned 61. I paid Social Security for over 20 years. If I elect to request Social Security benefits at age 62, how will this affect my civil service pension? A: Because you are now covered by CSRS Offset, at age 62 your annuity will be offset by the amount of Social Security benefits you earned while covered by CSRS Offset. The net effect will be that you’ll…
Q: I am a federal employee and I am also receiving Social Security benefits. I understand that when I retire and start receiving my civil service annuity, my monthly Social Security benefits will be recalculated because of the windfall elimination provision. At the time I started receiving Social Security, my number of years of substantial earnings for WEP purposes was 23. Because I am a Federal Employees Retirement System transferee, my current salary is subject to FICA. Will the years subsequent to the initial receipt of Social Security will be added to my 23 years? In other words, if I…
Q: I have 33 years under the Civil Service Retirement System. Prior to that, I was with a private company and completed 32 quarters under Social Security. I will be 70 years old in June. My separation notice under the Base Closure and Realignment Act will be issued in June, and I will have to leave my job by Sept. 15. What are my best options to qualify for Social Security (40 quarters)? I understand there will be offset payments. Should I continue work two more years, finding another job after Sept. 15, and forget Social Security? A: You can…
Q: I’m a disabled federal retiree drawing a federal retirement. I paid into Social Security while on National Guard status for 30 years. I’m currently working and paying into Social Security and will have enough quarters to draw Social Security payments at age 62. I understand there is an offset that will apply to my retirement. I have received a Social Security statement every year; my past statement shows I will draw around $750 at age 62. Is this my retirement amount after the offset, or do I need to reduce this amount by the offset amount? If that’s the…
Q: After reading all the horror stories about the windfall elimination provision and Social Security demanding payback of erroneous payments, I’m writing to verify my Civil Service Retirement System Offset and WEP reductions. I have 22 years of CSRS service, from 1973 to 1995, put in 13-plus years of nonfederal work, and then was re-employed with the federal government as a CSRS Offset employee in 2008. I plan to retire at 62 with 27 years, 8 months of federal service, with about five years of that under CSRS offset. My personnel office says that I am not subject to the…