Ask The Experts: Retirement

By Reg Jones

Recomputing benefits

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Q. I will turn age 62 on Aug. 29. I have 4½ years on my FERS disability with 24½ years of service. Will FERS automatically recompute this, or do I have to notify them of my pending birthday? Also, since my birthday is on the 29th day of the month, I read that FERS would retire me out not on my birthday but on the day before I turn age 62, which would be Aug. 28?

I know how to figure all of this according to my high-3 year earnings. However, the part that I cannot compute on my own is what my salary would be at time of retirement since I would be retired out due to disability at age 62 as if I never left federal service.

A. At age 62, your disability annuity will end. An artificial benefit will then be calculated as though you had worked to age 62. To do that, the time you spent on disability retirement will be added to your actual service and multiplied by 1 percent. The product will be multiplied by your high-3 when you went on disability retirement, increased by any cost-of-living adjustments payable from that time to age 62.

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