Ask The Experts: Retirement

By Reg Jones

FERS early retirement vs. immediate retirement

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Q. Are there any differences between a FERS early retirement and an immediate retirement? During a reduction in force, can you retire before your minimum retirement age for both under early retirement and immediate retirement? For example, can you retire at age 53 with 30 years in FERS without any age reduction penalties to your annuity under both early retirement and immediate retirement? Which type of retirement is more appropriate for the previous example?

A. Using your example, you could immediately retire under the MRA+10 provision. However, your annuity would be reduced by 5 percent for every year you were under age 62. If you accepted an early retirement offer, the age penalty would be waived.

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