When does a buyback of previous time spent in a federal position have to occur?


I am a FERS employee who will be retiring on Dec 31, 2018. I worked while in school in a temporary government position and just found out that I can buy back this time and it will contribute to my retirement annuity. When do I have to make this payment? Before my retirement date?

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Posted by (Questions: 1, Answers: 0)
Asked on October 12, 2018 7:47 pm
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As long as your temporary service was prior to January 1, 1989, you can make a deposit and that time will then count for both eligibility and computation of your annuity unless this service was for the Peace Corps or VISTA, in which case there is no deadline of when the work was performed. Service credit payments must be made prior to final adjudication of your retirement. Since you are about 60 days from retiring, you should either complete SF-3108 and attach to your retirement paperwork or attach a letter so OPM knows that you wish to make the deposit. OPM will not be able to finalize your retirement until the deposit is satisfied and it must be paid in a lump sum. Below are guidelines obtained from OPM’s website:
Procedures for paying a deposit or redeposit
You should apply to make a payment by completing a Standard Form 3108, Application to Make Service Credit/FERS. If you are within six months of retirement, you should submit your request to make the deposit at the same time you submit your application for retirement. You can use a form or letter to do this. We will notify you of any amounts due so you can decide whether or not to make the payment. We cannot, however, authorize your regular annuity payments until we have your decision about the payment.

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Posted by (Questions: 0, Answers: 605)
Answered on October 12, 2018 9:34 pm