Military Credit

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I am 58 and entering Federal employment for the first time. I served 35 years as USAF Reserve/Air National Guard. I was called to active duty 3 times after 9/11 and served for about 5 years. Other than training, that was the only active duty I have served.
1) Should I consider making a deposit for credit?
2) What is the benefit?
3) How do I calculate the deposit?

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Asked on May 1, 2019 3:30 pm
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If you make a deposit for your active duty service, it will add service time towards your retirement for both eligibility and computation. So if you have 5 years of active duty, you will add 5% to your to your annuity computation. Depending on your agency, you need to complete RI-20-97, attach all copies of your DD-214s for all periods of active duty service and DFAS will send you a statement of your earnings during those periods of active duty. You then take that to your HRO and they will calculate what you owe which is 3% of that amount plus interest if you have more than 3 years of civilian service. FYI, there is a 2 year interest free period to make the deposit. If the deposit is not satisfied during that period, interest begin on your third anniversary on the unpaid balance.

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Answered on May 1, 2019 3:54 pm
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Thank you Elaine. Is there a minimum number of years that I must work as a federal employee to get a pension? If I ‘buy in’ 3 years, does that count toward that minimum?

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Answered on May 2, 2019 1:23 am
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Yes, to be vested in FERS one needs 5 years of creditable civilian service to qualify for voluntary retirement. In your case, if you make the deposit for your 5 years of military service, your total pension would be based on 10 years of creditable service, 5 military and 5 civilian. If you need to apply for disability retirement, the civilian service requirement is 18 months.

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Answered on May 2, 2019 2:13 pm
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Thank you Elaine. Very helpful. So, after depositing for 5 years military service, I must work 5 years as a civilian in order to be vested. correct?

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Answered on May 2, 2019 2:45 pm
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Correct…unless you become disabled and then you need only 18 months of creditable civilian service.

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Posted by (Questions: 0, Answers: 541)
Answered on May 2, 2019 2:48 pm