FERS Annuity Computation

Computing Creditable Service | Components of Basic Annuity | Computing Length of Service Periods | Employees with a FERS Annuity Component | Sample of Annuity Computation

SAMPLE ANNUITY COMPUTATIONS - FERS

Employee B.

  • FERS retirement system
  • Full time schedule
  • Age 51

26 years 6 months

(Note: the 3 years refunded are not creditable for eligibility nor annuity computation purposes)

 

Work history:

  • 23 years 6 months covered firefighter service, (includes 3 years when employee quit and took a refund of retirement contributions.)
  • 4 years military service*
  • 2 years non-fire service**

Total service for annuity:

High three average salary $28,000

Basic Annuity:

 

1.7% x $28,000 =

$476 x 20 = $ 9,520

1% x $28,000 =

$280 x 6.5 = $ 1,820

$11,340

Quick Formula:

$28,000 x .405 =

$11,340

* Assume the deposit for military service is paid.
**Under FERS retirement, however not covered and no extra ½% contribution.

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Revised 05/03/2002

 

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