FERS Retirement / Reserve

[ProduceMan]

Anyone know if FERS employees uses Military Leave for Reserve (weekend, 2 weeks) training, are they credited that time for FERS retirement?

[Aitrus]

Yes, they are. It's considered a leave status, so it applies just as annual leave or sick leave would.

[ProduceMan]

Yes, they are. It's considered a leave status, so it applies just as annual leave or sick leave would.

Ok, thanks, seems kinda like double dipping.

[Aitrus]

It is a bit. Military service is separate from civil service, but in some circumstances the member can use service from one for the other.

Consider my situation: I did 10 years on Active Duty, then 10 years in the Air National guard. My 10 Active Duty years counts toward my Guard retirement, and since I bought back the time it will count for my Civil Service retirement as well. I think that it's allowed because Guard members don't start getting a retirement check until they turn 60, unless they earned enough points for an immediate retirement akin to what the Active Duty folks get at 20+ years. But going that route is very hard to do, and you have to pretty much be on active duty orders / be a full-time Guardsman (as opposed to a regular weekender or civil service Technician) for for a huge chunk of your working career in order to do it.

But since it's only 2 or 3 weeks a year of Military Leave that a civil service member is authorized to use, it's really not that big of a double dip situation. More like they are still employed and in a leave status instead of being placed in LWOP during those days.

[ProduceMan]

Since you bought your active duty portion of military service, I think you might not get that part of your military service counted for military retirement once you start collecting civil service retirement.

[Aitrus]

No, it still counts. I know of a fair number of Guard technicians who were prior Active Duty. Since technicians are civil service, they can buy back their AD time and apply it to their retirement. The AD time then counts toward both their Guard and civil service retirements. It's a pretty common occurrence.

[ProduceMan]

That’s great, I think rules are different for Active Military Service Retirement as far as buy back for FERS Retirement.

[Aitrus]

Yes, it is. If somebody is already receiving a full AD retirement, buying back their time for civil service isn't allowed (or if it is, it doesn't make sense financially). Allowing it to be done the way I described above for dual-status folks (Guard and civil service) is a really nice way of not letting that time go to waste.

In a way it also makes sense. AD time is full-time, as is civil service. But Guard time is part-time weekends. AD / civil service get a retirement pension immediately, while a part-time Guardsman has to wait until age 60 to get the pension. Allowing the buy-back lets the individual use full-time service credit for a full-time retirement instead of waiting until age 60 to get paid for those years of work.

[jdoma]

You can also buy back your AD time from your reserve years, ie your 2 weeks active duty each year. Its a little more of a complicated process on getting the documentation, especially if you are still an active reservist. I know of a few folks who have done it and I am starting the process to buy about 8 months of reserve active duty. I hear it can take up to a couple years to get it all completed so don't waste time if you are nearing retirement. No sense in leaving money on the table.

[ProduceMan]

I believe it’s allowed, but when the AD buybacker starts receiving civil service pension, AD pension stops.

So I was wondering if the people you know, REALLY knows if their AD bought time is part of their military service pension calculation.

[ArrieS]

Yes, it is. If somebody is already receiving a full AD retirement, buying back their time for civil service isn't allowed (or if it is, it doesn't make sense financially).

Unless part of their military retirement pay is granted as combat related.

You cannot receive credit for any military service in your FERS retirement computation, if you are receiving military retired pay, unless you were awarded the retired pay:

1. Due to a service-connected disability either incurred in combat with an enemy of the United States or caused by an instrumentality of war and incurred in the line of duty during a period of war, or

2.Under the provisions of Chapter 1223, Title 10, U.S.C. (pertaining to retirement from a reserve component of the Armed Forces).

https://www.fedshirevets.gov/federal-em ... t/#content

[Aitrus]

Huh. I wasn't aware of that little clause. Sounds as if a member is medically retired due to combat injury resulting in retirement pay, then the member can claim those years toward FERS retirement. Makes sense.

Thanks for pointing it out, ArrieS.

[ArrieS]

It doesn't have to be a medical retirement. A soldier retired after 20 years can also get it. If they have a disability that they receive a waiver for to continue to serve can then receive it from a normal retirement.

For example this Army Ranger soldier who continued to serve after losing his leg.

https://www.washingtonpost.com/world/so ... story.html

Or if in the course of their retirement processing a medical examination grants them a high rating which is far more common. You'd be surprised how many E-9s when they turn in their retirement paperwork walk out the door with a 100% rating.