Home
Back
FERS Annuity Formula:
| From: | To: |
The FERS (Federal Employees Retirement System) annuity is a defined benefit pension for eligible federal employees. It's calculated based on your highest three consecutive years of salary (High-3) and years of creditable service.
The calculator uses the FERS annuity formula:
Where:
Explanation: The formula calculates your basic annuity by multiplying your High-3 average salary by 1% for each year of service.
Details: Accurate annuity estimation is crucial for retirement planning, helping federal employees understand their expected pension income and make informed decisions about retirement timing and financial preparation.
Tips: Enter your High-3 average salary in USD and your total years of service. All values must be valid (salary > 0, years between 0-60).
Q1: What is considered in the High-3 calculation?
A: The High-3 average is based on your highest three consecutive years of basic pay, which includes locality pay but excludes bonuses, overtime, and other special payments.
Q2: Are there different multipliers for different retirement ages?
A: Yes, employees who retire at age 62 or later with at least 20 years of service receive a 1.1% multiplier instead of 1.0%.
Q3: How is part-time service calculated?
A: Part-time service is credited proportionally based on the number of hours worked compared to full-time employment.
Q4: What other factors affect the final annuity amount?
A: The final amount may be reduced for early retirement, survivor benefits, or if you have a CSRS component. It may also be increased by unused sick leave.
Q5: Is this calculator accurate for all FERS employees?
A: This provides a basic estimate. Special circumstances (law enforcement, air traffic controllers, etc.) may have different calculations. Always consult with HR for precise figures.