Can I Retire At 50 With 30 Years of Federal Employment

Can I Retire At 50 With 30 Years of Federal Employment?

If you are itching to spend more time with family, early retirement may be the answer. But, when? Federal Educators takes a look at the possibility of retiring at age 50 with 30 years of federal employment.

 

Generally, a federal employee is eligible for retirement when they have served at least 30 years of service and is at least age 55 under the Civil Service Retirement System (CSRS) or if under the Federal Employee Retirement System (FERS), the federal employee must be at least 56 years old. Both systems offer retirement eligibility for those with 20 years of service and at least 60 years old or a minimum of 5 years of service at age 62 or older. However, the Office of Personnel Management (OPM) does offer exceptions to increase the number of employees that are eligible for retirement.

 

Under the Voluntary Early Retirement Authority (VERA), the basic age and service requirements can be reduced to 20 years of service at age 50 or 25 years of service at any age. An agency may request a VERA when restructuring geographic areas, organizational units, grades, time periods, or any combination of those factors. Offering these opportunities voluntarily allows employees to receive an immediate annuity earlier than they would otherwise be eligible. Sometimes, agencies will also include a Voluntary Separation Incentive Payment or VSIP which is a lump sum bonus that cannot by law exceed $25,000.

 

How will your FEHB plan work? You may continue your FEHB enrollment if you have been enrolled for at least 5 years before your retirement. However, OPM may grant pre-approved waivers of the 5-year rule to employees who participate in OPM-approved early retirement.

 

During our complimentary benefits analysis, Federal Educators can recommend resources that will help you plan for early retirement. Give our Tampa office a call at (813) 755-7037 to get started today.