Immediate Voluntary FERS Retirement

Sometimes this is simply called regular FERS Retirement. This is the most common type of retirement under the Federal Employee Retirement System (FERS).

You are eligible for an immediate voluntary FERS Retirement if you have the right combination of age and years of creditable service. There are three combinations of age and service.

To be eligible you must have at least...

  • Reached your MRA with 30 years of creditable service (MRA+30) ...or...
  • Be at least 60 with 20 years of creditable service (60+20) ...or...
  • Be at least 62 with 5 years of creditable service (62+5)

So the sooner you started working for Uncle Sam (the more creditable service you have) - the earlier you can retire.

These are the minimums - so if you have reached your Minimum Retirement Age (MRA) and have 35 years of service that’s fine. You aren’t forced to retire when you reach your MRA with 30 years of service - but once you do you now have the option to retire.

If you meet these qualifications - you are eligible to start receiving your pension within 30 days of your separation. (But be prepared - it might take many months to get your first check)

If you will have at least 20 years of creditable service and will be at least 60 years of age at retirement... you need to know about the 10% bonus for retiring at 62 with 20+ years of service.

“What if I Don’t Meet These Qualifications?”

If you haven’t met these requirements - you may be eligible for other types of retirement under FERS.

Be sure to check out MRA+10 Early Retirement. But I think it’s worth it to be familiar with all of the different rules for FERS Retirement - even if it takes some time. It’s always important to understand your options.

Visit our page that lists the most common types of retirement under the Federal Employee Retirement System - and see if you qualify for another type of FERS Retirement.

FERS Pension Calculation for Immediate Retirement

Your FERS pension is calculated based on three factors:

  • Your High-3 Salary
  • Your Years of Creditable Service and
  • Your Pension Multiplier (which here is 1%)

Here's how they come together in the FERS retirement pension forumula...

FERS Pension Calculation

Let’s look at a few sample FERS Retirement pension calculations for Immediate FERS retirement.

These all use the same formula listed above - but we're just going over more examples of that same formula for different lengths of service. We'll look at someone going out with MRA+30, 60+20, and 62+5.

Example for FERS MRA+30 Retirement:

  • High-3 Salary: $55,000
  • Years of Service: 30
  • Pension Multiplier: 1% (this person is *not* over age 62)

    $55,000 x 30 x 1% = $16,500 a year
    ....................................or $1,375 per month

    ***If retiring with 20 (or more) years of service an age 62 or older - your pension will be higher...


Example for FERS 60+20 Retirement:

  • High-3 Salary: $55,000
  • Years of Service: 20
  • Pension Multiplier: 1% (this person is *not* over age 62)

    $55,000 x 20 x 1% = $11,000 a year 
    ....................................or $916 per month

    ***If retiring with 20 (or more) years of service an age 62 or older - your pension will be higher. Be sure to look into the 10% bonus for 62+20 retirement.


Example for FERS 62+5 Retirement:

  • High-3 Salary: $55,000
  • Years of Service: 5
  • Pension Multiplier: 1%

    $55,000 x 5 x 1% = $2,750 a year 
    ....................................or $229 per month


Gross vs. Net Pension

We've just walked through a few examples of how your pension might be calculated. It's important to keep in mind that these figures are only talking about your 'gross' pension - not the 'net'.

Your FERS pension will be reduced by the cost of a survivor annuity, FEHB, taxes and more by the time it gets to you. Learn more about the difference between your *Gross* and *Net* FERS Pension

To learn more about how your FERS pension is calculated - including how to determine your High-3 and your years of creditable service take a look at our main page about FERS retirement pension calculations.

When Do I Get My First Pension Check?

When you retire under Immediate Retirement - you are eligible to start receiving your FERS pension/annuity within 30 days.

Even though you *can* start receiving your check in 30 days... that doesn't mean that you *will*.

I tell people that their retirement may be *effective* in 30 days, but that does not mean that it is *payable* in 30 days.

I can tell you from my experience working with Federal Employees, it often takes several months to receive your first check.

Are You Getting the Most Out of Your Benefits?fers retirement program

As a federal employee, you have one of the best benefits systems out there. But as you know - there are lots of exceptions, caveats and details to keep track of.

There's so much to know about your benefits - and it's important to make sure you're not missing anything.

Ever wished there was a 'checklist' for planning your FERS Retirement?

I've taken my experience as a Financial Planner for Federal Employees, and created a do-it-yourself
program that's designed to walk you through planning your federal retirement.

It's called FERS Route to Retirement.  

Route-to-Retirement is
the most comprehensive
Pre-Retirement and Financial Planning
for Federal Employees available online

- or your money back.

With Route-to-Retirement, you'll ...

✔ Learn How to Maximize Your FERS Benefits

✔ Understand Your Retirement Income

✔ Use Custom FERS Retirement Calculators

✔ Learn One Step at a Time

✔ Get Instant Access – Available 24/7

Are you ready to start planning your retirement?  You can get started today, Click here to get started!.  

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