CSRS Offset

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Q. I will be 61 in August with 26 years of service, CSRS Offset. I’m planning to retire in September. Do I have a deduction on my annuity?

A. Because you will be under age 62 when you retire, there won’t be an immediate reduction in your annuity; however, at age 62 when you first become eligible for a Social Security benefit, your CSRS annuity will be reduced by the amount of Social Security benefit you earned while a CSRS Offset employee.

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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.

3 Comments

  1. Q. I am preparing to retire as an Air reserve Technician on 3-8-2019 and I am having trouble figuring out how to calculate my retirement annuity. I paid back my military service from 1-12-1981 thru 1-22-85. I started civil service on 1-23-1985 as CSRS Interim and was issued a SF 50 on 1-1-1987 making me a FERS-ART. Since I have 5+ years of creditable CSRS service due to my paid buyback of military service should I receive some type of CSRS annuity in addition to my FERS annuity?

    • No. Because you didn’t have 5 years of actual CSRS service before January 1, 1987, you were automatically converted to FERS. The fact that you made a deposit to get credit for your active duty service would have no affect on that.

  2. Good Day,
    This formula, CSRS Offset,
    Estimated SSA Benefit X Number of Offset Service = Product, divide by 40 = ???
    The outcome of ???, Is it monthly or yearly ?
    Thanks

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