Government employment after VSIP


Q. I retired 20 months ago and received a voluntary separation incentive payment. I can get a non-career part-time job with the U.S. Post Office that has no benefits with it. I retired from an army base public works which is DOD. Will this job effect my VSIP and retirement?

A. Yes, it will. You’ll have to repay the entire amount of your VSIP before the first day of work if you are employed by the government of the United States or work under a personal services contract with the government within five years of the date of separation for the incentive. Employment includes work with any entity of the federal government, under any appointing authority, for any duration of time. This includes all branches of government, independent agencies (such as the U.S. Postal Service), all work schedules (part-time, temporary, term appointments, etc.), experts, consultants, etc. Depending on the nature of the appointment, the salary of your new position might also be offset by the amount of your annuity.



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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

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