High-3 and FERS retiree


Q. I was covered under CSRS full time for a little more than five years and left the government more than 25 years ago and took a refund. I was later rehired under FERS. When I retire, assuming the necessary age and service requirements are met, I understand my annuity will have CSRS and FERS components if I pay back the refund. Will the CSRS high-3 calculation come from my highest three FERS years if they are my highest income years?

A. The CSRS component of your annuity will be calculated using the same high-3 used for your FERS calculation. If you don’t deposit the money refunded to you, plus accrued interest, you’ll still get credit for that time in determining your length of service; however, the CSRS portion of your annuity will be actuarially reduced based on how much you owe and your age at retirement.


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Reg Jones was head of retirement and insurance policy at the Office of Personnel Management. Email your retirement-related questions to fedexperts@federaltimes.com.

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