Opm Retirement Calculator Fers

FERS Retirement Annuity Calculator

Your highest average basic pay over any 3 consecutive years.

Total years of federal service.

Additional months of federal service (0-11).

Your age when you plan to retire.

function calculateFERSAnnuity() { var high3Salary = parseFloat(document.getElementById('high3Salary').value); var serviceYears = parseFloat(document.getElementById('serviceYears').value); var serviceMonths = parseFloat(document.getElementById('serviceMonths').value); var retirementAge = parseFloat(document.getElementById('retirementAge').value); var resultDiv = document.getElementById('result'); // Input validation if (isNaN(high3Salary) || high3Salary <= 0) { resultDiv.innerHTML = "Please enter a valid High-3 Average Salary."; return; } if (isNaN(serviceYears) || serviceYears < 0) { resultDiv.innerHTML = "Please enter valid Creditable Service Years."; return; } if (isNaN(serviceMonths) || serviceMonths = 12) { resultDiv.innerHTML = "Please enter valid Creditable Service Months (0-11)."; return; } if (isNaN(retirementAge) || retirementAge = 62 && totalService >= 20) { multiplier = 0.011; // 1.1% for age 62+ with 20+ years of service } else { multiplier = 0.01; // 1% for most FERS retirees } var initialAnnualAnnuity = high3Salary * totalService * multiplier; var finalAnnualAnnuity = initialAnnualAnnuity; var reductionDetails = ""; // Check for MRA+10 reduction // Minimum Retirement Age (MRA) varies by birth year. For simplicity, we'll assume a common MRA of 57. // The MRA+10 provision applies if retiring at MRA with 10-29 years of service. // Annuity is reduced by 5% for each year under age 62. var assumedMRA = 57; // This is a common MRA for those born 1970 or later. if (retirementAge = 10 && totalService = assumedMRA) { var yearsUnder62 = 62 – retirementAge; var reductionPercentage = yearsUnder62 * 0.05; // 5% per year finalAnnualAnnuity = initialAnnualAnnuity * (1 – reductionPercentage); reductionDetails = "(Includes a " + (reductionPercentage * 100).toFixed(0) + "% reduction for retiring under age 62 with 10-29 years of service)"; } resultDiv.innerHTML = "

Estimated Annual FERS Basic Annuity:

" + "$" + finalAnnualAnnuity.toFixed(2).replace(/\B(?=(\d{3})+(?!\d))/g, ",") + "" + reductionDetails + "This estimate does not include Social Security or TSP benefits."; }

Understanding Your FERS Retirement Annuity

The Federal Employees Retirement System (FERS) is the retirement plan for most federal civilian employees hired after December 31, 1983. It's a three-tiered system designed to provide retirement income from three sources:

1. The FERS Basic Benefit Plan (an annuity from OPM)
2. Social Security benefits
3. The Thrift Savings Plan (TSP)

This calculator focuses specifically on estimating your FERS Basic Benefit Plan annuity, which is a defined benefit pension paid by the Office of Personnel Management (OPM).

How the FERS Basic Annuity is Calculated

Your FERS basic annuity is determined by a straightforward formula:

High-3 Average Salary × Years of Creditable Service × Multiplier

1. High-3 Average Salary

This is the average of your highest basic pay over any 3 consecutive years of service. These three years are typically your last three years of employment, but they don't have to be. The "basic pay" includes your salary, locality pay, and certain other payments, but generally excludes overtime, bonuses, and most allowances.

Example: If your highest three consecutive years of basic pay were $85,000, $90,000, and $95,000, your High-3 Average Salary would be ($85,000 + $90,000 + $95,000) / 3 = $90,000.

2. Years of Creditable Service

This includes all periods of federal civilian service during which FERS deductions were taken from your pay. It can also include certain periods of military service if a deposit was made. Service is counted in years and full months (e.g., 25 years and 6 months would be 25.5 years for calculation purposes).

Example: 28 years and 0 months of service.

3. Multiplier

The multiplier is typically 1% per year of service. However, if you retire at age 62 or later with at least 20 years of creditable service, the multiplier increases to 1.1% per year of service.

• 1% Multiplier: For most FERS retirees.
• 1.1% Multiplier: If you are age 62 or older AND have 20 or more years of creditable service.

Example: If you retire at age 58 with 28 years of service, your multiplier would be 1% (0.01). If you retire at age 62 with 28 years of service, your multiplier would be 1.1% (0.011).

Minimum Retirement Age (MRA) and Reductions

Your Minimum Retirement Age (MRA) depends on your birth year. For most employees born in 1970 or later, the MRA is 57. FERS offers several retirement options, and some may result in a reduced annuity:

• Immediate Retirement: If you meet specific age and service requirements (e.g., MRA with 30 years, age 60 with 20 years, age 62 with 5 years), you can retire and begin receiving an unreduced annuity immediately.
• MRA+10 Retirement: If you retire at your MRA with at least 10 years but less than 30 years of service, your annuity will be permanently reduced by 5% for each year (or 1/12 of 5% for each month) you are under age 62. You can avoid this reduction by postponing the start of your annuity until you reach age 62.

Our calculator incorporates the MRA+10 reduction if your inputs suggest you fall into this category (retiring under age 62 with 10-29 years of service, assuming an MRA of 57).

Important Considerations

• Social Security and TSP: Remember that your FERS Basic Annuity is just one part of your federal retirement. You will also receive Social Security benefits (if eligible) and income from your Thrift Savings Plan (TSP) account.
• Cost of Living Adjustments (COLAs): FERS annuities generally receive COLAs, but typically not until you reach age 62.
• Survivor Benefits: You may elect to provide a survivor annuity for your spouse, which will reduce your own annuity.
• Health and Life Insurance: Continuing your Federal Employees Health Benefits (FEHB) and Federal Employees Group Life Insurance (FEGLI) into retirement has specific requirements.

This calculator provides an estimate for your FERS Basic Annuity. For personalized advice and precise calculations, it is always recommended to consult with an OPM benefits specialist or a qualified financial advisor.