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Reply to "FERS 4.4% payroll deduction"
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[quote=Anonymous][quote=Anonymous][quote=Anonymous]No, you cannot opt out of FERS, and if you think you can get a better return on that biweekly deduction by investing it yourself, there’s a bridge I’d like to sell you. Your TSP deduction is the portion of your money that gets invested on your behalf. The pension deduction is a pay-in for an eventual payout. If you leave you can ask for a lump sum payout, but if you stay more than five years, you can get a pension benefit for life when you finally retire. It will be really small if you only stay a short time.[/quote] How can you calculate the pension you can get if you leave at 5, 10, 20 or 30 years? [/quote] With excel and a solid understanding of the impact of assumptions of salary increases, but especially inflation, in the intervening time between retirement and collection.[/quote]
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