meddian wrote:I'm really confused. I thought the reason to "BUYBACK" your time while working for the government was for me to get my 4 years of active duty added to my retirement plan-which would give me an SCD with 4+ years? Four years added to the FERS calculation adds up to additional monies for my FER retirement. I also thought that I didnt pay FICA with the miliatry and thats why I paid it back.
My idea is about TSP.
You can already buy back your time for retirement. But you're buying it back for a FERS retirement.
But the FERS retirement unlike the military retirement has three parts. TSP, Pension, Social Security.
You paid social security tax, so you have the Social Security part of your retirement. After you buy back your military time, you have your pension back. That's two out of three. A stool can't stand on two legs, needs a third.
My idea is to address the third part. The TSP, while serving you didn't get any matching contributions for your TSP. Matching contributions are an important part of the FERS retirement which you now have.
So I want to introduce legislation that would allow veterans that have bought back their time for a pension, also be able to get those matching contributions for their FERS retirement.
When you bought back you military service they computed how much you were paid and based your buyback amount on that. I would use that same amount for matching contributions of 5%.
I hope that clears it up.