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By Reg Jones

Temporary appointment poses annuity question

February 3rd, 2012 | Creditable service: FERS FERS annuity computation RETIREMENT

Q. I have 27 years of service, but two years of that is credited to me for a temporary appointment I had from 1980 to 1982. I’m under the Federal Employees Retirement System and my EOD is 1984. How will this affect my retirement, and should I or can I buy back those two years?

A. For service before Oct. 1, 1982, you have a choice. If you make a deposit for that time, plus accrued interest, it will be used in the computation of your annuity. If you don’t, your annuity will be reduced by 10 percent of the amount you owe, plus accrued interest. For any period of non-deduction service on or after Oct. 1, 1982, you have to make a deposit for that time to be used in your annuity computation.

FedLine Home | Permalink | February 3rd, 2012

Comments

Phil Sagle Says:
February 3rd, 2012 at 1:34 pm
This answer is completely-accurate and true in every detail for CSRS (Civil Service Retirement System) personnel. Also for this FERS employee Questioner’s purposes, it is serves her/his every purpose. However technically the final portion of this response is ever-so-slightly “off”, with respect to it’s overall & general-purpose accuracy. In-fact, for FERS (Federal Employees Retirement System), for any period of non-deduction service before Jan. 1, 1989, you have to make a deposit (plus interest) for time to be used in your retirement eligibility and your annuity computation : no credit is allowed if non-deduction service is performed on or after Jan. 1, 1989.