Retire at 62 with 19 years?

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What would be the impact in my retirement pay if I retire when I turn 62 with 19 years in the federal government rather than working until I’m 63 with 20 years?

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Asked on March 24, 2018 2:55 am
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Retirements are calculated using full years and full months of service. If you retire at age 62 with less than 20 years of service, your retirement would be calculated at the 1% x years/months of service x high-3 average salary. If you wait to retire at age 63 with 20 years of service, the multiplier goes up because you have 20 or more years of service and you are age 62 or older to 1.1% x years/months of service x high-3 average salary.
Your decision would be to retire at age 62 and collect 19% x high-3 or wait until age 63 and collect 22% x high-3. Now what can change the numbers above, is the amount of sick leave you have on the books when you retire, as sick leave adds additional service time for computation purposes only. EXAMPLE: Let’s say you actually have 19 years 3 months of service time and 9 months of sick leave, at age 62. When we add all your creditable service time and sick leave together, you have a total of 20 years and you are age 62 or older so the multiplier will increase to 1.1% x high-3 and you will be eligible to collect your 22% x high-3 average salary.

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Answered on March 24, 2018 2:35 pm

I’m a FERS employee with NASA and was told at a retirement workshop offered by a NASA retirement expert last week that sick leave does not count towards the 20 years of service requirement. She said that OPM is changing this rule to 62 years of age and 20 years of actual service without counting sick leave. I would appreciate and answer to confirm or refute this since I would have 20 years of service at the end of June 2018 (counting sick leave) or at the end of May 2019 not counting sick leave.

( at May 7, 2018 2:37 pm)
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Your question has two parts to it. First is eligibility to retire. In that situation, your sick leave cannot count towards making you ELIGIBLE to retire, so the retirement expert was correct. However, the second part to your question is whether OPM will use the 1% or the 1.1% multiplier to CALCULATE your retirement. If you have 20 or more years of service and are age 62 or older at retirement, the 1.1% multiplier will be used to calculate your retirement. The example I used in the response above your question is the correct answer: EXAMPLE: You have 19 years 3 months of creditable service time and 9 months of sick leave, at age 62 when you retire. When we add all your creditable service time and sick leave together, you have a total of 20 years. Since you are age 62 or older in this example, the multiplier will increase to 1.1% x high-3 and you will be eligible to collect 22% x high-3 average salary. I have not heard anything about OPM changing this rule.

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Answered on May 7, 2018 3:00 pm
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Doesn’t ATC Vision 100 (Public Law 108-176) allow for the full 1.7% at age 62 regardless of the number of years in ATC?

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Answered on June 25, 2018 4:09 pm
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No, Vision 100 is for MRA+30.

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Answered on June 25, 2018 5:07 pm