Survivor Benefits Explained: What Federal Families Need to Know Right Now

Jeff Boettcher
May 27, 2025

Key Takeaways

Survivor benefits can provide vital financial security for your loved ones after your passing. Understanding eligibility, application processes, and benefits can help you plan effectively.
Federal survivor benefits include pensions, life insurance payouts, and other assistance programs. Knowing how to access them is key to protecting your family’s future.

Unlocking Survivor Benefits: Why They Matter

When you’re a federal employee or retiree, one of the biggest perks of your position is the financial safety net it provides for your loved ones. Survivor benefits are an essential component of this safety net, ensuring your family can continue to receive financial support after you’re gone. Whether it’s a monthly pension, life insurance payouts, or other assistance, these benefits are designed to ease the financial burden on your survivors.

To make the most of what’s available, you need a clear understanding of what federal survivor benefits entail, who qualifies, and how to claim them.

What Are Federal Survivor Benefits?

Federal survivor benefits are financial and insurance-related programs that provide support to your designated beneficiaries after your death. These benefits stem from employment and retirement programs such as:

FERS and CSRS Survivor Pensions
Both the Federal Employees Retirement System (FERS) and the Civil Service Retirement System (CSRS) offer survivor annuities to eligible beneficiaries. The specific amounts depend on your retirement contributions and the election you make for survivor benefits when you retire.
FEGLI Life Insurance
Federal Employees’ Group Life Insurance (FEGLI) is the government’s life insurance program. If you participate in FEGLI, your beneficiaries may receive a lump-sum payment or other payouts based on your coverage.
Thrift Savings Plan (TSP) Beneficiary Options
Your TSP account also provides financial assistance to your designated beneficiaries, either as a lump sum or as a payout option they select.

Eligibility for Survivor Benefits

Who qualifies for your survivor benefits? This depends on the benefit type and your family structure. Generally, eligible beneficiaries include:

Spouse: Most federal benefits prioritize a surviving spouse, often requiring marriage to have been in place for a specific duration (e.g., nine months for survivor pensions under FERS).
Children: Minor or dependent children may qualify for certain survivor benefits, especially in the absence of a surviving spouse.
Former Spouses: If a divorce settlement includes survivor benefits, former spouses may be eligible under a court order.
Designated Beneficiaries: For benefits like TSP and FEGLI, anyone you’ve named as a beneficiary can receive the payouts.

Special Considerations for Spouses

For federal employees covered under FERS or CSRS, survivor annuities must be formally elected at retirement. If you’re married, your spouse typically must consent if you choose not to provide a survivor annuity. Keep in mind that these annuities often reduce your retirement income during your lifetime but ensure financial support for your spouse after your death.

How Much Will They Receive?

The amount of survivor benefits varies widely depending on several factors:

FERS Survivor Benefits
- 50% or 25% of Your Pension: You can elect a 50% or 25% survivor annuity for your spouse. This decision affects your retirement pension amount, with higher survivor benefits resulting in reduced lifetime income.
- Children’s Benefits: Eligible children receive fixed monthly payments based on federal guidelines, often adjusted annually.
CSRS Survivor Benefits
- 55% of Your Pension: Your spouse can receive up to 55% of your CSRS pension if elected. Similar to FERS, electing this option reduces your annuity during your lifetime.
FEGLI Payouts
FEGLI benefits depend entirely on the coverage you’ve selected. Beneficiaries receive either the Basic Insurance Amount (BIA) or additional optional coverage amounts you’ve chosen.
Thrift Savings Plan (TSP)
Beneficiaries can choose to receive the balance as a lump sum or through other available payout options.

How to Apply for Survivor Benefits

Applying for survivor benefits requires a proactive approach. Here’s a step-by-step guide to help your family prepare:

1. Gather Documentation

Ensure your beneficiaries have easy access to:

Your retirement account information.
Marriage certificates or divorce decrees, if applicable.
Birth certificates for any minor or dependent children.

2. Notify Relevant Agencies

Your family must notify your federal employing agency or the Office of Personnel Management (OPM) about your death. OPM handles most survivor benefit applications for federal retirees and their families.

3. Submit Applications

The process typically involves:

FERS/CSRS Survivor Annuity: Submit Standard Form 3104 or 2800, depending on your retirement system.
FEGLI Benefits: File a claim form available from the employing agency or OPM.
TSP Payouts: Complete Form TSP-17 for death benefits.

4. Track Timelines

Timeliness matters. Most survivor benefits take several weeks to months for processing, so it’s crucial to apply promptly.

Avoiding Common Pitfalls

When it comes to survivor benefits, a little planning can prevent big problems. Here’s what to watch out for:

1. Outdated Beneficiary Forms

Ensure your TSP, FEGLI, and other beneficiary designations are up-to-date. Federal agencies honor the latest beneficiary form on file, even if it’s outdated.

2. Uninformed Beneficiaries

Keep your beneficiaries informed about their rights and the steps they need to take. Lack of awareness can lead to delays or missed opportunities.

3. Failure to Elect Survivor Benefits

At retirement, electing a survivor annuity ensures your spouse is eligible for benefits. Without this election, your spouse could lose out on essential financial support.

Planning Ahead: Protecting Your Loved Ones

Taking proactive steps today can make a world of difference for your family later. Here’s how you can prepare:

Review Your Benefits Annually
Life changes such as marriage, divorce, or the birth of a child can affect your survivor benefits. Regularly review and update your elections and designations.
Educate Your Family
Help your loved ones understand the benefits available to them, how to apply, and what documentation they’ll need.
Consider Supplemental Options
While federal benefits are robust, some families may benefit from additional life insurance or retirement accounts to enhance their financial security.
Seek Professional Guidance
Federal benefits can be complex. Consulting a financial advisor or benefits counselor familiar with federal programs can help you make informed decisions.

Your Family’s Security Starts Today

Federal survivor benefits are an invaluable resource, but they require careful planning and attention. By understanding eligibility rules, ensuring your beneficiaries are prepared, and keeping your records updated, you can give your family peace of mind and financial stability.

Jeff Boettcher

For over 20 years, Jeff Boettcher has helped his clients grow and protect their retirement savings. "each time I work with my clients, I'm building their future, and there are few things that are more important to a family than a stable financial foundation."

Jeff is known for his ability to make the complex simple while helping navigate his clients through the challenges of making the right investment decisions. When asked what he is most passionate about professionally, his answer was true to character, "Helping my clients – I love being able to solve their problems. People are rightfully concerned about their retirement income, when they can retire, how to maximize their financial safety and future income." Jeff started Bedrock Investment Advisors for clients who value a close working relationship with their advisors.

A Michigan native, Jeff grew up playing sports throughout high school and into college. While Jeff is still an 'aging' athlete, Jeff will take more swings on the golf course than miles running these days. He creates family time, often with weekly excursions to play golf, a hobby he shares with his three young children.

Disclosure: Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice has been filed, or is excluded from notice filing requirements. This information is not a complete analysis of the topic(s) discussed, is general in nature, and is not personalized investment advice. Nothing in this article is intended to be investment advice. There are risks involved with investing which may include (but are not limited to) market fluctuations and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making any investment decision. You should consult a professional tax or investment advisor regarding tax and investment implications before taking any investment actions or implementing any investment strategies.