Top 3 years of salary

[pfred]

For calculating the top 3 years of salary, how long do you have to wait after the end of the year to retire or apply for retirement, until that year is included in the top 3?

[bizkikr]

All FERS pensions done by OPM. Cite OPM for the correct source or to confirm someone's opinion.

Here's the reference you're looking for:
https://www.opm.gov/retirement-center/f ... mputation/

The retirement package goes to OPM to make all the granular details. If you wanted to double check their work, that's possible. Suffice to say, you're high 3 is calculated upon your retirement date so think of your average high 3 from your retirement date all the way back three years.

[12squared]

For calculating the top 3 years of salary, how long do you have to wait after the end of the year to retire or apply for retirement, until that year is included in the top 3?

If you retire shortly after getting a pay increase - COLA or otherwise - only the time at that salary counts, not the entire "year". The "high 3 " is actually a rolling 36 month period - possibly 156 weeks.

[Bubba]

For calculating the top 3 years of salary, how long do you have to wait after the end of the year to retire or apply for retirement, until that year is included in the top 3?

If you retire shortly after getting a pay increase - COLA or otherwise - only the time at that salary counts, not the entire "year". The "high 3 " is actually a rolling 36 month period - possibly 156 weeks.

I always understood that your salary was based on whatever your salary was at the time of retirement (i.e. the day you retire). If on that day you received an increase, then you had a higher "high 3."

[jdoma]

Your monthly retirement check is based on your highest 3 continuous years, which could occur anywhere in your carreer if you switch jobs, take a pay cut, etc, but is typically your last 3 years of employment when you should be at peak earnings potential. Sticking around just until you get a pay increase does not really do anything for your pension, but it will put you at a higher salary rate regarding your payout for any unused annual leave you will sell back.

[12squared]

For calculating the top 3 years of salary, how long do you have to wait after the end of the year to retire or apply for retirement, until that year is included in the top 3?

If you retire shortly after getting a pay increase - COLA or otherwise - only the time at that salary counts, not the entire "year". The "high 3 " is actually a rolling 36 month period - possibly 156 weeks.

I always understood that your salary was based on whatever your salary was at the time of retirement (i.e. the day you retire). If on that day you received an increase, then you had a higher "high 3."

According to the retirement class I took recently, one day only counts for 1/365th of a year. The rest of the "high 3" is based on previous 1094 days.

[jimcasada]

High three from my recent retirement went back three years from my last day at work: 30Jun2023 to 1Jul2020. I believe they count every day while employed (including weekends and sick/annual leave days). Shift differential pay is included, but holiday pay and overtime pay is not included. I'm not sure if they count an extra day for leap years.

[ProduceMan]

High three from my recent retirement went back three years from my last day at work: 30Jun2023 to 1Jul2020. I believe they count every day while employed (including weekends and sick/annual leave days). Shift differential pay is included, but holiday pay and overtime pay is not included. I'm not sure if they count an extra day for leap years.

"Shift differential pay is included, but holiday pay and overtime pay is not included."

WOW!, Hi Jim. I thought it was based off your pay that's on your SF50, unless your SF50 includes differential pay. Mine doesn't

[jimcasada]

I don't think shift differenial pay is mentioned on my SF50, but if you are paid by the hour, I am quite sure it is included in your high 3.

[ProduceMan]

I don't think shift differenial pay is mentioned on my SF50, but if you are paid by the hour, I am quite sure it is included in your high 3.

Thanks