Deferred Retirement if Continuing to Work Outside of Gov

0
0

I served for 18 years active duty and currently 6 years VA, I have been offered a great position outside the federal government. I was born in 1963 and bought back my military time – if I take the position can I get my federal retirement starting at 62, since I would plan to work until 62 no matter where I am working at?

Blocked by moderator
Posted by (Questions: 1, Answers: 0)
Asked on March 4, 2019 8:06 pm
378 views
0
Private answer

Since you were born in 1963, your FERS Minimum Retirement Age (MRA) is age 56. Since you have made a deposit for your military service, you should have 24 years of creditable service for both eligibility and computation. If you were to leave your federal position on or after your 56th birthday, you have the option to draw against your FERS retiring under the MRA+10 option, meaning you have at least ten but less than 30 years of creditable service. If you were to collect immediately, your retirement would be reduced 5% for every year you are under the age of 62. To avoid or reduce the age penalty, you can resign your federal position on or after age 56 and at a future date of your choosing, have your annuity commence. Since you have more than 20 creditable years of federal service, you only need to postpone your retirement to age 60 as age 60 with 20 or more years of service will provide you with an unreduced retirement. And, if you had your FEHB and FEGLI for at least five years prior to leaving federal service, those will be reinstated when your annuity commences. Should you decide to leave prior to age 56, your only option would be a deferred annuity. Again, you can take it at your MRA with an age penalty or age 60 with no penalty, the difference is there is no FEHB or FEGLI when the annuity commences.

Blocked by moderator
Posted by (Questions: 0, Answers: 461)
Answered on March 4, 2019 8:22 pm