Also, don't forget carrying your insurance into retirement.

Is it worth it? If you can make a ton more money in the private sector and be disciplined enough to save it all, sure. But consider this - if your high 3 average is "just" 136k (gs14 step 10) and you put in 20 years (ignoring the 1.1, just using 1%) you would gets 27,200/year from FERS alone, not counting your tsp. If you live 25 years in retirement that is 680k. If you move to private sector you would have to save an additional (above what you were already saving to your tsp/401K) 17,500/year and earn 6.5% on that money to match the FERS payments you gave up. Sure, it would be nice to be there longer and get 30%, but 20% of your income is pretty sweet compared to the zippy percent you will get in the private sector.

If you can ony work for the federal government for about 20 years - is it worth it for the FERS? I'm trying to decide whether it makes sense to stay the rest of my career with the fed govt for the retirement. I feel like it doesn't amount to much if you haven't spent your entire career with the federal govt.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I am always surprised at how many FERS employees don't know that they are earning an annuity on top of the TSP.

Retired fed here. Age 57. 4k annuity the first of every month. Like it or not!

First, I believe your $4K included FERS Supplement. Second, you either had more than 30 years of services or had a very high 3 average salary. Third, you did not elect to have your spouse benefit at 50/50 annuity. Otherwise, you would like get this amount.

Someone who is already retired at 57 may well be under CSRS, not FERS.

Yes, now make more sense.

What is the difference?

CSRS was much more generous-- you could get 80% of your salary, while FERS is designed to give you about 1/3 of your salary, plus SS and a match for your own retirement contributions in a 401k-type plan (TSP).

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I am always surprised at how many FERS employees don't know that they are earning an annuity on top of the TSP.

Retired fed here. Age 57. 4k annuity the first of every month. Like it or not!

First, I believe your $4K included FERS Supplement. Second, you either had more than 30 years of services or had a very high 3 average salary. Third, you did not elect to have your spouse benefit at 50/50 annuity. Otherwise, you would like get this amount.

Someone who is already retired at 57 may well be under CSRS, not FERS.

Yes, now make more sense.

What is the difference?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I am always surprised at how many FERS employees don't know that they are earning an annuity on top of the TSP.

Retired fed here. Age 57. 4k annuity the first of every month. Like it or not!

First, I believe your $4K included FERS Supplement. Second, you either had more than 30 years of services or had a very high 3 average salary. Third, you did not elect to have your spouse benefit at 50/50 annuity. Otherwise, you would like get this amount.

Someone who is already retired at 57 may well be under CSRS, not FERS.

Yes, now make more sense.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I am always surprised at how many FERS employees don't know that they are earning an annuity on top of the TSP.

Retired fed here. Age 57. 4k annuity the first of every month. Like it or not!

First, I believe your $4K included FERS Supplement. Second, you either had more than 30 years of services or had a very high 3 average salary. Third, you did not elect to have your spouse benefit at 50/50 annuity. Otherwise, you would like get this amount.

Someone who is already retired at 57 may well be under CSRS, not FERS.

Anonymous wrote:

Anonymous wrote:I am always surprised at how many FERS employees don't know that they are earning an annuity on top of the TSP.

Retired fed here. Age 57. 4k annuity the first of every month. Like it or not!

First, I believe your $4K included FERS Supplement. Second, you either had more than 30 years of services or had a very high 3 average salary. Third, you did not elect to have your spouse benefit at 50/50 annuity. Otherwise, you would like get this amount.

Anonymous wrote:I am always surprised at how many FERS employees don't know that they are earning an annuity on top of the TSP.

Retired fed here. Age 57. 4k annuity the first of every month. Like it or not!

What about what you have saved in TSP? Can FERS retirees take that as a lump sum as opposed to the TSP annuity?

Anonymous wrote:Slightly off topic, but do Federal FERS retirees have to take their Basic pension (not the TSP) as an annuity? Can you take a lump sum?

AFAIK you cannot elect a lump sum

Slightly off topic, but do Federal FERS retirees have to take their Basic pension (not the TSP) as an annuity? Can you take a lump sum?

Anonymous wrote:I get that we have both TSP as well as a pension plan. What I don't get is the statement that we are "earning an annuity on top of the TSP". My understanding is that we can convert our TSP savings to an annuity *if we wish*, but that is separate from our pension.

The pension plan is called the basic annuity, hence the confusion.

I get that we have both TSP as well as a pension plan. What I don't get is the statement that we are "earning an annuity on top of the TSP". My understanding is that we can convert our TSP savings to an annuity *if we wish*, but that is separate from our pension.

Sorry I meant opm not olms