LWOP and disability retirement

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Q. I work for the U.S. Postal service and I’m applying for disability retirement. Re: the high 3 year average. ,y pay rate is $58,350 for 2017. For the last 3 or 4 years I’ve been using LWOP a lot and my yearly income has hovered around $40,000 a year. Do they use my pay rate of $58,350 (it was around $58,000 for 3 consecutive years) or do they use the $40,000 figure to arrive at the 3 year average? In other words, would LWOP effect my disability retirement income? Thanks for any help.

A. Your high-3 will be based on the average of your highest three consecutive years of pay, regardless of when they occurred in your career.

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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.

2 Comments

    • I retired as a letter carrier April 29, 2016. I was very sick for the past four years and LWOPed a lot…. my pay did the same exact thing; but, I made it to age 56 and retired immediately. I retired regular FERS with 33 years which included 10.8
      military service. My SRS was only $685 a month because HR & I failed to understand that the SRS is determined by the amount of years served at the Postal Service. I was just approved for SSDI which will have no effect on my Regular FERS retirement. However, if you retire FERS disability, there will be a huge offset. I have a friend who only gets her SSDI and no retirement. In a sense, that is good because the SSDI is not taxed, but, IF u can struggle through to meet your minimum retirement age, I recommend that highly. Transfer within the Postal Service and get an easier job.

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