Not affiliated with The United States Office of Personnel Management or any government agency

Not affiliated with The United States Office of Personnel Management or any government agency

you will get old

Pension Envy? You’re Not Alone

[vc_row][vc_column width=”2/3″ el_class=”section section1″][vc_column_text]Pension envy refers to an individual wishing they could swap their retirement plan with other employees in the office for one reason or another. Would you say that you have a touch of pension envy? If so, you’re not alone.

Many, if not the majority, of federal employees who are under the old Civil Service Retirement System (CSRS) have envy towards their workmates that are in the Federal Employees Retirement System (FERS). Majority of fed retirees have coverage under CSRS that was replaced in the mid-80s by FERS.

Many FERS employees would move to the CSRS program in a heartbeat if it was possible. Currently, some federal and postal employees are under FERS (that replaced CSRS) in the mid-1980s. Employees in 1987 were offered the choice to remain in CSRS or move to FERS.

The design of FERS was meant to shift more of the retirement to employees away from the government employer. It is done this way in many private companies. Compared to CSRS, FERS workers are offered a reduced life annuity. However, individuals receive and pay for coverage of social security. This allows them to qualify for a government contribution to match up to 5 percent for their Thrift Savings Plan.

Together with saving the government the costs, FERS was designed for its portability. Most of the people signing up for government service jobs do not retire from their work, and that makes FERS portability better.[/vc_column_text][/vc_column][vc_column width=”1/3″][vc_single_image image=”34169″ img_size=”292×285″ style=”vc_box_shadow”][/vc_column][/vc_row]

Search for Public Sector Retirement Expert.

Receive the Best advice.

PSR Experts can help you determine if Public Sector Retirement is right for you or if you should look for alternatives.

The Best Advice creates
the best results.

Recent Articles

Did You Know About These Roth IRA Withdrawal Rules? Find Out Here

Key Takeaways Understanding Roth IRA withdrawal rules is essential to avoid penalties and maximize tax benefits.This guide explains the conditions...

Why Social Security and Federal Pensions Don’t Always Work Together as Seamlessly as You Think

Key Takeaways: Federal pensions and Social Security provide distinct benefits, but their integration can result in unexpected limitations due to...

Balancing Social Security with Your Federal Pension—Here’s What Works and What to Be Careful With

Key Takeaways: Balancing Social Security with your federal pension can impact how much you receive in retirement benefits, so understanding...

Search For Public Sector Retirement Expert

Receive the Best advice.

PSR Experts can help you determine if
Public Sector Retirement is right for you or if you should
look for alternatives.

The Best Advice creates

the best results.

Subscribe to our Newsletter

"*" indicates required fields

Our Readers Deserve The Best PSHB and USPS Health Benefits Guidance

Licensed insurance agents who understand PSHB, Medicare, and USPS Health Benefits Plan are encouraged to apply for a free listing.

This field is for validation purposes and should be left unchanged.

Book Phone Consultation

"*" indicates required fields

This field is for validation purposes and should be left unchanged.

Get In Touch

Stay up to date on the latest information about Public Sector Retirement.

The Best Advice Creates The Best