As a federal employee, you may be wondering if taking a non-federal job will affect your Federal Employee Retirement System (FERS) annuity. The short answer is no, taking a non-federal job will not affect your FERS annuity.
Your FERS annuity is based on your years of service and your highest three years of salary. It is not affected by any non-federal employment you may have after retiring from federal service. However, there are a few things to keep in mind.
First, if you are receiving a FERS annuity and you return to work for the federal government, your annuity may be subject to an earnings test. This means that if you earn more than a certain amount in a calendar year, your annuity may be reduced. The earnings test does not apply to non-federal employment.
Second, if you are receiving a FERS disability annuity, returning to work in any capacity may affect your annuity. If you are able to earn more than 80% of your pre-disability earnings, your disability annuity may be reduced or terminated.
Finally, if you are considering taking a non-federal job before you retire from federal service, keep in mind that your retirement benefits may be affected by any changes in your service computation date (SCD). Your SCD is used to calculate your retirement eligibility and the amount of your FERS annuity. If you take a non-federal job before retiring from federal service, your SCD may be affected.
In conclusion, taking a non-federal job will not affect your FERS annuity as long as you are not receiving a FERS disability annuity and do not return to work for the federal government. However, it is important to keep in mind the earnings test and any potential changes to your SCD if you are considering taking a non-federal job before retiring from federal service.
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