Thread: Calculating FERS retirement

Originally Posted by Pistol

I was trying to calculate what my FERS retirement would be and my numbers just don't add up. Here are what my numbers should be at retirement. Could someone tell me how much my FERS retirement would be based on 25 years of service with an annual salary of $90,000? Thanks

Top three years are $90K?

Plenty of that kind of stuff on this site. Welcome to the MB.
Norman
http://www.myfederalretirement.com/public/main.cfm

Thanks for the info. Trying to dream of days to come......

Here is one calculator I have seen:

http://hr.er.usgs.gov/calculators/retire/fers.html

there are others out there as well.

This is also available from USGS. It's hard to find this link anymore... I think it got changed. I like this one the best.

http://hr.er.usgs.gov/calculators/tsp/tsp.pl

Originally Posted by Pistol

I was trying to calculate what my FERS retirement would be and my numbers just don't add up. Here are what my numbers should be at retirement. Could someone tell me how much my FERS retirement would be based on 25 years of service with an annual salary of $90,000? Thanks

Here is the OPM explanation.

http://www.opm.gov/retire/pre/fers/computation.asp

If you're law enforcement, with twenty-five years of service, you would receive 39% [(1.7% x 20 years=34%) + (1% x 5 years=5%)] of your high three ($90,000) or $35,100...if my calculations are correct. I'm no math wiz!

Originally Posted by Pistol

I was trying to calculate what my FERS retirement would be and my numbers just don't add up. Here are what my numbers should be at retirement. Could someone tell me how much my FERS retirement would be based on 25 years of service with an annual salary of $90,000? Thanks

FERS for regular emloyees ia 1% for every year of service X Avg of top 3 years.

If you are older than 55 and are eligible for retirement, then that would be 25% of 90K, which is 27,000/yr.

Now what is your TSP total. Do you want to let it grow or cash out? If you have 300K in there and want to transfer it to a lifetime annuity at say 5%...then thats an additional $15,000/yr.

So you would be up to $42,000/yr. There is also a Social Securty supplement which takes effect at 59 1/2 years of age that pays you roughly 70% of what SS would normally pay out. If you are near 60, that might be around 10K/yr. So now you're up to 52,000/yr.

Bt without knowing more about your TSP and age history...we're really dealing in hypotheticals right now. Hope this gives you a ballpark idea of where you stand.

Originally Posted by FireWeatherMet

FERS for regular emloyees ia 1% for every year of service X Avg of top 3 years.

If you are older than 55 and are eligible for retirement, then that would be 25% of 90K, which is 27,000/yr.

Now what is your TSP total. Do you want to let it grow or cash out? If you have 300K in there and want to transfer it to a lifetime annuity at say 5%...then thats an additional $15,000/yr.

So you would be up to $42,000/yr. There is also a Social Securty supplement which takes effect at 59 1/2 years of age that pays you roughly 70% of what SS would normally pay out. If you are near 60, that might be around 10K/yr. So now you're up to 52,000/yr.

Bt without knowing more about your TSP and age history...we're really dealing in hypotheticals right now. Hope this gives you a ballpark idea of where you stand.

One thing- Minimum retirement age is 56 for those born between 1954 and 1963; abd climbs to 57 for anyone born later than 1970. http://opm.gov/retire/pre/fers/eligibility.asp Those who haven't got 30 years of service can get a reduced annunity, but it takes both age and years of service to qualify for the full retirement amount.

Be careful about the annuity option. You will likely accrue the same or better interest in the G or F fund, and maintain your capital and flexibility.

Annuity from TSP....Really?

I thought we already had a support group to stop taking annuities from your TSP?

Annuity- meaning the FERS retirement monthly payment.

I wasn't referring to a TSP purchased annuity.
http://www.tsp.gov/forms/tspbk02.pdf...dest=annuities

Sorry if there was any confusion.