CSRS retirement


Q. I have a friend who has been at GS-09/Step 10 for over 10 years and she has been on base for 45 years with approximately 715 hours of sick leave, which would equate to approximately four months. Once you reach the 80 percent (41 years and 11 months), how does the extra four months add in to your annuity, if you retire? For example, would four months give you, say, approximately an additional $50 or $75 on your retirement check if you retire, or how exactly does that formula work?

A. When your friend reached 41 years and 11 months of service, she was entitled to the maximum annuity of 80 percent based on actual service.

Deductions will continue to be taken from her pay after that and, when she retires, she’ll receive a refund, with the option to purchase additional annuity which isn’t subject to the 80 percent limit. On the other hand, unused sick leave, which also isn’t subject to the 80 percent limit, will be added to her actual service and used to increase her annuity. Every additional month that produces would increase her annuity by 1/6 of a percent.


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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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