Q. I am under CSRS and my wife is under FERS. When I retire I will take out a survivor annuity for her. If I should die before her and she is also retired, can she collect my survivor annuity and her FERS retirement or will she be penalized on her Social Security.
A. She would be able to receive your survivor annuity, whether or not she was retired. If she was retired, she would also receive her own annuity and, when she was eligible, a penalty-free Social Security benefit.