Q. I’m a FERS employee. I understand that when I retire I will have two survivor annuity options, either 50 percent or 25 percent of my full annuity. What does “full annuity” mean? Does it mean that my wife will get 50 percent of what my annuity would be before the 10 percent reduction to pay for it, or will she get 50 percent after the 10 percent is taken out to pay for the full survivor annuity?
A. If you die, she would get 50 percent of what your annuity would have been if your annuity hadn’t been reduced to provide that benefit. Further, her survivor annuity would be increased by any COLAs you received after you retired.