Civil Service Retirement System

Under the Civil Service Retirement Act, which went into effect on August 1, 1920, Federal employees received a retirement system they could use. The Federal Employees Retirement System (FERS) replaced the original system for Federal employees who were entered a covered type of service on or after January 1, 1987.The Civil Service Retirement System (CSRS) functions as a defined benefit, contributory retirement system for qualified government workers. Under the plan, employees share any expenses of annuities they are entitled to receive. Those covered under CSRS contribute 7, 7 ½, or 8 percent of their gross pay to CSRS. They also pay the Medicare tax, which is 1.45 percent of pay currently, but usually are exempt from Social Security retirement payments and survivor and disability tax (OASDI). The agency employing the individual matches these CSRS contributions.Employees who qualify for CSRS can increase their annuity earnings by contributing up to 10 percent of their basic pay from qualified service to a voluntary contribution account. They can also participate in the Thrift Savings Plan (TSP) by contributing some of their wages. The government does not contribute to these two plans, but employees receive a tax-deferred investment opportunity.The following links provide more information about the Civil Service Retirement System (CSRS):Eligibility – Outlines the main eligibility requirements for common retirement reasons.Early Retirement – Explains the minimum retirement age, and what to do if you must retire early because your agency undergoes a reduction in force, or if you retire involuntarily other than for a justifiable cause.Computation – Outlines the way in which a CSRS retirement annuity is computed.Creditable Service – Rules for what military and civilian service is qualified to be used when computing CSRS retirement benefits.Voluntary – Requirements for retiring voluntarily.Deferred – Employees who were covered by CSRS may be able to receive deferred annuity at age 62.

Former Employees – Options for those who leave a Federal government job before qualifying for retirement.

Service Credit – Payment that increase your annuity when no CSRS retirement deductions were withheld, or when they were refunded for military service after 1956.

We provide no cost consultations for all Federal Employees. Through this consultation you will receive a better understanding of your entire benefits package and how each part will affect your retirement. Analysis will be done on the following items: Survivor Benefits, FERS or CSRS annuities, TSP, FEGLI, Social Security and much more. This analysis is done by 1st Opulence Financial. Please fill out the information and fax it back to 1(866)537-1745 and a member of our team (Brian Whitaker) will contact you.

Confidential Questionnaire

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