FERS v. Military Retirement: Key Differences Explained

Retired military personnel receive special privileges when claiming federal retirement benefits. But is military retirement better than what the Federal Employees Retirement System (FERS) has to offer? This guide goes over the differences between FERS retirement and military retirement in meticulous detail so you can take the right path for the best rewards. Meet with a Federal Educators benefits advisor today for expert guidance on federal government retirement benefits that you might qualify for.

The Main Difference? Military Retirees Have Two Paths Before Them…

Military retirees have the luxury of choosing between military retirement pay and a FERS pension. If you’ve been in service for so many years, it might sound like the obvious choice to go with military pay. However, the FERS program offers special credit for military service so that you can receive a bonus to your federal retirement pension.

What Do I Get With Military Retirement Pay?

By going with military retirement pay, you receive a fed pension calculated based on your rank and years of service. The only stipulation? You must have served for at least 20 years. If you have many years of active service on your record, opting for military retirement pay might be a better choice for you.

Special individuals, like those who have served under the National Guard, might be able to receive both military retirement pay and a FERS retirement pension. All you would need to do is “buy back” your active duty time.

With much to consider, it’s best to meet with a federal benefits advisor for expert insights to help you make the right decision.

Is It Better to Get Military Credit With FERS?

FERS retirement is typically seen as the standard for federal retirement annuity. It includes Social Security, the Thrift Savings Plan, and a regular federal pension. Because of the wide scope of pay, the FERS basic benefit plan is an intriguing option for many, including military personnel.

Military retirees are offered an additional incentive for choosing FERS as their federal retirement plan. Military credit is awarded to those who meet all of the eligibility requirements (age, rank, years of service, etc.) and put in an official application. To receive military credit for FERS annuity, you may have to make a deposit and possibly waive military retirement pay.

Don’t make your decision blindly. Make an informed choice starting with a Federal Educators benefits analysis that’s entirely free!

More to Consider As a Military Retiree

Let’s go over what we know about choosing between military retirement pay and FERS payment with military credit:

• FERS basic annuity and military retirement pay are typically based on factors like rank, years of service, and age.
• You may need to make a deposit to receive military credit for a FERS retirement pension.
• Certain individuals may be able to combine both FERS pension and military retirement pay.

Learn more about your federal employee retirement benefits by taking part in our educational workshops. All speakers are certified experts who are qualified to inform you about effective retirement planning.

Contact Federal Educators Today to Find the Best Military Retirement Plan For You!

Before making any final (and irreversible) decisions, consult with your trusted team of military retirement benefits advisors at Federal Educators! Schedule a meeting today when you call (813) 568-1212 and unlock your ideal military retirement plan that works best for you.