1. What is FERS Annuity?

The FERS (Federal Employees Retirement System) annuity is a basic benefit plan for federal employees. It provides a monthly payment based on your length of service and highest three years of average salary.

2. How Does the Calculator Work?

The calculator uses the standard FERS annuity formula:

Where:

• High-3 Average Salary — Your highest average basic pay over any 3 consecutive years
• Years of Service — Total years of federal service (can include partial years)
• 1% — Standard multiplier for regular FERS employees

Note: For those retiring at age 62 or later with 20+ years of service, the multiplier increases to 1.1%.

3. Importance of Annuity Calculation

Details: Understanding your potential annuity helps in retirement planning. The FERS annuity forms one part of the "three-legged stool" of federal retirement (along with TSP and Social Security).

4. Using the Calculator

Tips: Enter your estimated high-3 average salary in USD/year and your total years of federal service. The calculator will estimate your annual annuity payment.

5. Frequently Asked Questions (FAQ)

Q1: What's included in high-3 salary?
A: Basic pay only - doesn't include bonuses, overtime, or allowances. Includes locality pay.

Q2: How is part-time service calculated?
A: Part-time service counts, but is prorated based on actual hours worked.

Q3: Are there age requirements?
A: Yes, minimum retirement age varies from 55-57 depending on birth year.

Q4: What about unused sick leave?
A: Unused sick leave converts to additional service time in the calculation.

Q5: How does early retirement affect this?
A: Early retirement may reduce the annuity by 5% per year under age 62.