Disability retirement

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Q. I am under FERS disability retirement with 23 years of service at age 49. I was told by the Office of Personnel Management that at age 62, my 23 years would be bumped up to 32 years — the difference between when I left and when I turn 62. So would it bump up my FERS retirement at age 62? Is this correct that it would be reconfigured at a higher annuity?

A. At age 62, your disability annuity will be recomputed and converted to a regular annuity. To do that, your actual service will be added to the time you spent on disability retirement. The total time will be multiplied by 1.1 percent. The product will be multiplied by your high-3 on the day you went on disability retirement, increased by any cost-of-living adjustments payable from that time to age 62.

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About Author

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

1 Comment

  1. I am in a similar situation. I am currently in the process of applying for Disability retirement. I have filled out the pile of required forms, and I have received a letter from my doctor supporting my Disability retirement. If I’m correct, the only thing I have yet to collect is a supporting statement from my supervisor; the next step being, running everything up OPM’s proverbial flagpole and waiting for their decision. I will turn 49 in AUG of 2018 and will have 30 years regular service in [October] 2018. So, as I write this, I’m wondering if OPM’s decision will be rendered before October. Also, having read your answer regarding the “bumping up” of years of service, I’m wondering if this will happen [for me] also.

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