By Reg Jones
May 22nd, 2013 | Uncategorized
Q. Will I still be able to keep my FEHB coverage at the employee rate with 20 years of service under FERS if I leave federal service at age 59? Do I have to wait until age 62 to get my full annuity with 20 years of service under FERS ?
May 21st, 2013 | Uncategorized
Q. I worked for the Department of Defense as a civilian physician for 16 years and then transferred to the Veterans Health Administration. I understand physician comparability allowance is part of basic pay for retirement for VHA. So, if I worked for the VHA for two years and then retired because I am at minimum retirement age plus 10, how would my annuity be calculated?
May 15th, 2013 | Uncategorized
Q. I am a traditional guardsman and am considering federal employment.
Does any of my inactive duty or mobilized time count toward retirement or leave accrual? I’m 43. What is the minimum number of years I would need to work to qualify for a pension, even deferred? Whom can I contact for more information?
Q. I retired from the military with full retirement in 1995. I think I understand that I cannot buy back any military time without forfeiting retirement pay when I retire from my federal job with the post office. Since the money comes out of my pocket, I have a hard time understanding this. However, I will have 20 years of service with the post office in 2017, when I am 56. If I take retirement, then why will I have a MRA+10 reduction till age 62 if I can retire fully at 60 with 20? Why would it be 30 percent instead of only 20 percent? Also, with the military pension and postal retirement, if Social Security is still around, how will this affect my annuity? Will I be able to pull all three full annuities? Read the rest of this entry »
Q. I would like to retire at between 56 and 58 with deferment until I reach age 60 and can draw my reserve retirement.
I am a gray area reservist with 20 creditable years of total service. This includes four years and two months of active duty that I bought back after I accepted a FERS position. I have been with FERS for 20 years, including buyback. Will I still be able to draw both retirements since my military retirement is a reserve retirement? In 2017, I will have 25 years, and I would like to retire no later than 2018 at 58.
How will my annuity be calculated? Do I have to retire at 60 to receive both retirements?
Q. I’m a FERS employee considering retiring under the MRA+10 provision. I’m 59 with 20 years of service. If I postpone the start of my annuity until I reach 60, I know there won’t be any reduction in my annuity. Will I also be eligible for the special retirement supplement if I postpone my annuity?
Q. I am a 55-year-old city mail carrier with 18-plus years of service. How much of a reduction from my full retirement funds would result if I retired at 57 with 20 years of service?
Q. I am a 43-year-old attorney considering leaving federal service for the private sector. I have 9½ years of service, have been enrolled in FEHB for that entire time and am deciding whether any benefit would vest or accrue to me if I stay 10 full years rather than leaving a few months short of that. My human resources specialist says that if I have 10 years of service when I resign, then I would be eligible to apply for an early retirement annuity at age 57 (MRA+10, I think) and re-enroll in FEHB at that age. Is he correct? My primary concern is not the early annuity option but whether I would be eligible to re-enroll in FEHB upon retirement.
March 28th, 2013 | Uncategorized
Q. If I retire at 59 years and five months with 28+ years of service, under a reduction in force, would I qualify for the special retirement supplement and only be penalized until I reach 60?
March 27th, 2013 | Uncategorized
Q. I am planning on taking a FERS MRA+10 postponed retirement in 2016, when I will be 56 and have 25 years of federal experience.
a) What is the earliest age I can receive unreduced benefits? Can I start at 60 since I will have more than 20 years of federal service? b) Will any unused sick leave be credited toward my years and months of service at that point? c) How do I start receiving benefits when I am ready?
March 26th, 2013 | Uncategorized
Q. I have completed 20 years in the Navy Reserve. I have been working as a GS for five years now and am 48. I am crediting my active-duty time to my GS service. It should total around seven years.
1) At age 56 (I was born in 1964), I will have 20 years of service (including the seven years of active duty I purchased). Can I begin my annuity then for the FERS retirement with no penalties?
2) At age 59, I can begin drawing my Navy Reserve retirement due to time served in a war zone. Are there any problems drawing the FERS retirement and my Navy Reserve retirement at the same time? Is that authorized?
March 26th, 2013 | Uncategorized
Q. I am eligible for the MRA+10 provision of FERS. However, I want to continue federal health benefits immediately in retirement and postpone payment of the annuity so I can avoid the reduction in the annuity payment. Can I do this?
March 22nd, 2013 | Uncategorized
Q. I work for Customs and Border Protection. I am 59 years and eight months old with 20 years and three months of service. If I retire ASAP, can I receive the special retirement supplement?
A. You wouldn’t receive the special retirement supplement because you’d be retiring under the MRA+10 provision. No one who retires under that provision can.
March 18th, 2013 | Uncategorized
Q. I have a little over 13 years of FERS service. I am 51 years old. I originally planned on retiring at 56 (MRA+10) but I have recently been contemplating retiring now under a deferred retirement.
1. If I retire now (deferred), will I be able to draw the retirement at 56, or will I have to wait until age 62?
2. If I choose to withdraw my retirement versus defer it, is there a calculator somewhere that can give me a general idea of how much I would get?
A. You can’t retire. What you can do is resign from the government, leave your retirement contributions in the fund and apply for a deferred annuity at age 62. There isn’t any calculator that would tell you what you’d receive if you took a refund of your retirement contributions. What I can tell you is that you’d receive every penny you contributed to the fund plus accrued interest based on variable market rates set by the Department of the Treasury.
March 14th, 2013 | Uncategorized
Q. I am 54 and have over 26 years of creditable service under FERS. I am going to be leaving government service in the next few months. Is it better to take a reduced annuity at age 56 or wait until I can take the full annuity?
A. You don’t have a choice. If you leave government, you won’t be eligible for a deferred annuity until you reach age 60. And the only reason you won’t have to wait until age 62 for that annuity is because you have at least 20 years of service.
Q. If I have less than three years in civil service but qualify for retirement based on military time I bought back, what is my high-3 calculated from?
A. Your annuity will be based on your combined civilian and military service for which you made a deposit. However, you don’t qualify for retirement. To do that, you will need to have five years of actual civilian service and meet the age and service requirements: 62 with 5 years, 60 with 20 years, at your MRA with 30 or at your MRA with between 10 and 29 years. In the last case, your annuity will be reduced by 5 percent for every year you were under age 62 when you retired. Note: MRAs range between 55 and 57 depending on your year of birth.
Q. Are there pay differences in FERS retirement after 20 years versus retiring at 18 years?
A. The simple answer: In most cases, the difference will be 2 percent because the standard formula is .01 x your high-3 x your years of service. However, the simple answer leaves too much out. You are eligible to retire only when you meet the age and service requirements for an immediate unreduced annuity, which are: 62 with 5 years of service, or 60 with 20, or at your minimum retirement age (MRA) with 30 You can also retire at your MRA with at least 10 but fewer than 30 years of service. However, your annuity would be reduced by 5 percent for every year you were under age 62.
One last wrinkle: If you retire at age 62 with at least 20 years of service, the first multiplier in the annuity formula will be increased to 1.1 percent.
March 11th, 2013 | Uncategorized
Q. I’m in FERS and can retire at 56 (my minimum retirement age) in four years, but I will have only 28 years in the Postal Service at that time. Will I eligible for the special retirement supplement?
A. No one who retires under the MRA+10 provision is eligible to receive the special retirement supplement.
March 8th, 2013 | Uncategorized
Q. I am 61 years old. I have more than 17 years of civilian service. I would like to retire early by age 62. Is this an option with MRA+10? Voluntary early retirement is not an option yet.
A. At age 62, you could retire on an immediate, unreduced annuity with as few as five years of service.
March 8th, 2013 | Uncategorized
Q. I am a 56-year-old postal carrier with 26 years of service. Am I eligible to receive the special retirement supplement? I meet minimum retirement age requirements. However, I don’t have 30 years.
A. You would only be eligible for the special retirement supplement if you accepted an early retirement offer made by your agency. If you weren’t, you’d be retiring under the MRA+10 provision. No one who retires under that provision is eligible to receive the SRS.