PessOptimist's Retirement Story

[PessOptimist]

Another milestone today toward the total retirement scenario. Applied for Medicare and part b.

Why? Because I must apply for Medicare and sign up for part b at least two months before the month I turn 65 in order for TriCare Prime to convert to TriCare for Life without having to apply for reinstatement. I do have the privilege for the next four years of paying TriCare Prime premiums for my SO with no apparent reduction in that premium.

I will continue to work at least until the end of the year and continue to be enrolled in FEHP BCBS. I plan to keep FEHP in to retirement. Doing this complicates the whole medical insurance thing.

Anyone covered by TriCare who is near 65yo needs to go here: http://tricare.mil/LifeEvents/Medicare
Click around and you may find something that applies to you . Call them if you need to but be prepared for a long call. The first human you talk to will not know the answer. If you are in a different region than I am you will call a different provider.

One other life thing that’s has come up about my planned retirement date from federal service of 12/31/17. At that point I will be 65y 8m old and SSA has declared years ago my full retirement age is 66. SO states she knows that it will cost her 10s of thousands of dollars if I retire “four months early”. SSA tells me I get 99.6% of “FRA” payment at 65y 8m. About $52 per month less. SO plans to get her SS payments two months later at 62yo. ½ of my payment will be $27 more than her estimated payment so she gets that. If I don’t apply for payments until 66 she gets $53 more. Not sure how that $26 difference fits in to the 10s of thousands but may have to work an extra six months.

PO

 

[Scout333]

Trust me its worth it to keep SO happy! LOL

 

[PessOptimist]

Yes it is Scout.
What I have been trying to explain to SO is I am on track to not take much annual leave this year (was supposed to be none but she planned a trip, was supposed to have 240 carry over but used some for SO medical care) and will sell that back to tide us over until the full annuity amount kicks in. 361.25 hours. Looking at the amount it could also take up the slack until I reach age 66 and draw my SS pay. If I delay retirement until next year I have to take 153.25 (no idea how that .25 came about) hours this year and the amount sold back April 30 next year will be about 312 hours. Yeah only 50 hours difference.
What matters to me is that I no longer enjoy or even like my job now. I can’t seem to explain that to a person who quit working 20 years ago because she didn’t like her job.
Sounds like I have a personal problem.
I think I have the medical insurance things on track. I sure hope so. Finding a “new” doctor has been a challenge.
PO

 

[PessOptimist]

SO has accepted that I am retiring at the end of the year. She is asking hard questions I don't know the answer to. Actually they are only hard to find the answer to. So I am reaching out to recent FERS retirees based on their own experience. OPM is kinda vague on the actual mechanism.

1. I am retiring 12/31/17. Based on experience when do I get my first "interim annuity"? I am betting on 2/1/18.
2. Also based on experiences, what percentage of your projected final "Estimated net Benefits" did you recieve as an interim payment?

PO

 

[pmaloney]

Hi, I have been retired for 4 years so I could look some of this up but you need to immediately contact your Personnel Office and begin your paperwork. They will give you best estimates and when you submit your final paperwork OPM will take over and provide more final estimates. I was surprised that I get my retirement around the 20th of every month but it works because Social Security comes in at the end of the month too. You just need to find out the dates and amounts and budget them for the future but you won't get that until you submit to your agency and they submit to OPM. Hopefully you'll get lucky and get $20K/month instead of $2K. :smile:

 

[evilanne]

#1 I retired 2/29/2016, 1st payment was 4/1/2016 right on schedule. Got my leave paid in the last paycheck on 3/17.
#2 My interim pay was 88.5% of actual payment. I got the difference for the 3 months on 6/15 and 1st full annuity payment 7/1/2016.

I'm not sure if retiring at end of year would be any different since it seems a lot more people seem to retire then.

 

[Stoplight]

SO has accepted that I am retiring at the end of the year. She is asking hard questions I don't know the answer to. Actually they are only hard to find the answer to. So I am reaching out to recent FERS retirees based on their own experience. OPM is kinda vague on the actual mechanism.

1. I am retiring 12/31/17. Based on experience when do I get my first "interim annuity"? I am betting on 2/1/18.
2. Also based on experiences, what percentage of your projected final "Estimated net Benefits" did you recieve as an interim payment?

PO

Hi, PO ! Glad to hear you decided to pull the plug !!!

I'm not a real recent retiree, but I'll give you the numbers, FWIW...

1. Retired 4/30/2012 ; received 1st "interim" annuity on 6/1/2012, right on schedule, too.
2. My interim payment was ~ 57% of my final payment.

That's based on my gross, unreduced benefit calcs, not "net". The gross can be reduced by survivor benefit, insurance, taxes, etc etc

If you haven't gotten one in a while, I recommend you ask your Agency for a current retirement benefits calculation. Although my Agency's estimate was ~ 7% higher than my final OPM calcs, it still gives you a good starting point for your own figuring...

HTH !


Stoplight...

 

[PessOptimist]

Hi, I have been retired for 4 years so I could look some of this up but you need to immediately contact your Personnel Office and begin your paperwork. They will give you best estimates and when you submit your final paperwork OPM will take over and provide more final estimates. I was surprised that I get my retirement around the 20th of every month but it works because Social Security comes in at the end of the month too. You just need to find out the dates and amounts and budget them for the future but you won't get that until you submit to your agency and they submit to OPM. Hopefully you'll get lucky and get $20K/month instead of $2K.

Thanks for the reply. I got the best estimates from the agency. I would be happy at $2k per month but that is not going to happen. Net anyway, maybe barely gross.

#1 I retired 2/29/2016, 1st payment was 4/1/2016 right on schedule. Got my leave paid in the last paycheck on 3/17.
#2 My interim pay was 88.5% of actual payment. I got the difference for the 3 months on 6/15 and 1st full annuity payment 7/1/2016.

I'm not sure if retiring at end of year would be any different since it seems a lot more people seem to retire then.

Thanks. This is the kind of input I am looking for.
I am retiring in the middle of a pay period. Normally I would look for a payment from my agencies normal pay schedule on 1/4/18 for the period 12/10 thru 12/23/17. Then on 1/18/18 I would get a payment for the period 12/24 thru 12/31/17. In one of them I should get the leave payment. Any idea how that is going to work? Anyone?

Hi, PO ! Glad to hear you decided to pull the plug !!!

I'm not a real recent retiree, but I'll give you the numbers, FWIW...

1. Retired 4/30/2012 ; received 1st "interim" annuity on 6/1/2012, right on schedule, too.
2. My interim payment was ~ 57% of my final payment.

That's based on my gross, unreduced benefit calcs, not "net". The gross can be reduced by survivor benefit, insurance, taxes, etc etc

If you haven't gotten one in a while, I recommend you ask your Agency for a current retirement benefits calculation. Although my Agency's estimate was ~ 7% higher than my final OPM calcs, it still gives you a good starting point for your own figuring...

HTH !


Stoplight...

Thanks. Got a retirement calc from January. Nothing changes until October and then only if I get a raise this year. My high 3 will go up a little. I am trying to keep in touch with my “absentee” HR person (we have been farmed out to a mercenary agency) and have reached out to my new local HR person but she never answers emails and is always out of her office.
Such is life for a .fed.
PO

 

[konakathy]

Congratulations PO !! Whoo Hoo! You're going to be so happy when you're free to do whatever you want.....unless the SO makes those "honey do" lists before you even finish doing your morning hot yoga in the patio.


I think at one time you mentioned you wanted to travel across country by rail? Any plans for living that dream? If not, here's an alternative you might relish!! You'd be the King of the Dogs, a real Hotdogger! (Jk)

https://www.google.com/amp/fox8.com/2017/07/09/oscar-meyer-says-wienermobile-drivers-wanted/amp/

Congrats!! Retirement is a beautiful thing. #freedom#sleepingin#takethisjobandshoveit

 

[kave]

I am retiring in the middle of a pay period. Normally I would look for a payment from my agencies normal pay schedule on 1/4/18 for the period 12/10 thru 12/23/17. Then on 1/18/18 I would get a payment for the period 12/24 thru 12/31/17. In one of them I should get the leave payment. Any idea how that is going to work? Anyone?

PO

PO, Congratulations on your retirement. I retired 12/31/16. I received my lump sum AL payment at the end of January 2017. My first interim annuity was Feb 1st and it was about 55%. We used my lump sum AL to make up the difference between interim annuity and my pay before retirement. I received another interim annuity on March 1st. My first full annuity plus the annuity balance (1/1 thru 3/1) on April 1st. It will take at least 3 months before your annuity is adjudicated. There's no fast track! For what's worth retirement is the second best job I've ever had. Being a Granddaddy is the best job ever! Although I'm now working more hours for less pay helping my brother farm I've enjoyed every minute of it. There's no stress and NO GOV'T BULLSH**T!!!

Best of luck to you!

 

[PessOptimist]

PO, Congratulations on your retirement. I retired 12/31/16. I received my lump sum AL payment at the end of January 2017. My first interim annuity was Feb 1st and it was about 55%. We used my lump sum AL to make up the difference between interim annuity and my pay before retirement. I received another interim annuity on March 1st. My first full annuity plus the annuity balance (1/1 thru 3/1) on April 1st. It will take at least 3 months before your annuity is adjudicated. There's no fast track! For what's worth retirement is the second best job I've ever had. Being a Granddaddy is the best job ever! Although I'm now working more hours for less pay helping my brother farm I've enjoyed every minute of it. There's no stress and NO GOV'T BULLSH**T!!!


Best of luck to you!

Thanks. The specific information I am looking for is how did they handle the two paydays you had coming. In my agency we get paid 12 days later for work in a specific pay period. So in Dec 2016 the pay period of Dec 11th-24th would have been paid Jan 5th. For the partial pay period Dec 25th-31st the normal payday would have been Jan 19th. How did that work for you?


PO

 

[Scout333]

I also had a partial payday and it came same time the regular paycheck would have arrived. I got the AL lump sum payment in Feb.2014. Also, that reminded me that I got the cost of living for the year following the retirement year (2013 for me) on a large portion of my AL lump sum payment. Explanation below.

Hello Fellow TSP'rs especially recent retirees, I found out a little information regarding the application of the 2014 raise % to the lump sum annual leave payment. According to information on the OPM.Gov site, the lump sum annual leave payment is calculated as follows- "Generally, a lump-sum payment will equal the pay the employee would have received had he or she remained employed until expiration of the period covered by the annual leave." As I read this we should get the 1% raise on a significant part of the lump sum annual leave payment. Check with your payroll office. I.E. If you retired on 12-31-13 annual leave to carry you through the end of PP 26 would be paid at the 2013 rate and any thing after that would be paid at the 2014 rate. Not a lot but we are on fixed incomes now. Worth a phone call.

Lump-Sum Payments For Annual Leave

 

[kave]

Thanks. The specific information I am looking for is how did they handle the two paydays you had coming. In my agency we get paid 12 days later for work in a specific pay period. So in Dec 2016 the pay period of Dec 11th-24th would have been paid Jan 5th. For the partial pay period Dec 25th-31st the normal payday would have been Jan 19th. How did that work for you?


PO

PO, it works just like you are still on the payroll. Because technically you are. The agency doesn't release you to OPM until they completed a leave audit and paid your lump sum AL (if any). Hope this helps.

 

[PessOptimist]

PO, it works just like you are still on the payroll. Because technically you are. The agency doesn't release you to OPM until they completed a leave audit and paid your lump sum AL (if any). Hope this helps.

Thanks kave, that was exactly the kind of information I was looking for.

Maybe my agency will not release me to OPM until the end of January. My estimate of the first interim payment was February 1[SUP]st[/SUP]. Now maybe March 1[SUP]st[/SUP].

Perhaps I will get more concrete information once I submit retirement paperwork. Once I figure out who to submit it to.

As I have explained before the goal is to have the same amount per month coming in as the current take home pay from the .fed job. Doable because of the max TSP deductions now, selling back annual leave and starting to receive SS in June. Then a “total withdrawal” from TSP to make up the shortfall per month. That should last about 30 years which puts me in my 90s. If I am still alive I have picked out a bridge on the 303 and maybe some of you will come visit me.

I am sure many of you will say I am not being proactive enough about my retirement. It is difficult when the resident HR person is never in her office and does not reply to e-mails. I will try to work harder to find that person or maybe her boss who is not on site. My bad.

Thanks for all the info so far.

PO

 

[Scout333]

PO not to say your HR person isn't competent but my experience has been they have very little experience with retirement questions. Try requesting your retirement computations as a start. I got some help from my supervisor who had a name and number from a lady in the section that did the comps. I still ended up having to do my own research on over half of my questions since I had the CSRS Offset retirement. Good luck!:smile:

 

[Valkyrie]

Thanks kave, that was exactly the kind of information I was looking for.

Maybe my agency will not release me to OPM until the end of January. My estimate of the first interim payment was February 1[SUP]st[/SUP]. Now maybe March 1[SUP]st[/SUP].

Perhaps I will get more concrete information once I submit retirement paperwork. Once I figure out who to submit it to.

As I have explained before the goal is to have the same amount per month coming in as the current take home pay from the .fed job. Doable because of the max TSP deductions now, selling back annual leave and starting to receive SS in June. Then a “total withdrawal” from TSP to make up the shortfall per month. That should last about 30 years which puts me in my 90s. If I am still alive I have picked out a bridge on the 303 and maybe some of you will come visit me.

I am sure many of you will say I am not being proactive enough about my retirement. It is difficult when the resident HR person is never in her office and does not reply to e-mails. I will try to work harder to find that person or maybe her boss who is not on site. My bad.

Thanks for all the info so far.

PO

your retirement is with OPM, not your agency. your agency really has zero say unless your in the military. call https://www.opm.gov/retirement-services/contact-retirement/

 

[PessOptimist]

your retirement is with OPM, not your agency. your agency really has zero say unless your in the military. call https://www.opm.gov/retirement-services/contact-retirement/

Thanks for the reply. Your agency has very little to say with when or if you retire. They do have a lot to do with getting the process started. Unless you have not been a federal employee for 31 days or more. https://www.opm.gov/retirement-services/csrs-information/planning-and-applying/#url=Apply

I have to get the paperwork from Colorado from my parent department, fill it out, send it back to Colorado and if there are no hiccups they send it to Cleveland, OH to payroll. If they find no problems and process it correctly then it goes to OPM. The agency may have zero to say about if you retire but they sure have a lot to do with making it happen.

Scout333, good advice and I have found that person. The new local HR person does not do retirements. I request and submit my paperwork to the same person at the parent department who has been sending the retirement estimates.

It should go pretty well. I have no breaks in fed service, been with the same agency the whole time, didn’t make any military deposit and have faithfully downloaded everything from my eopf. I go there every 60 days as they seem to no longer notify any one of new actions. Being close to the end I think once a week is prudent. Download anything placed in the file and save it off the .gov domain. Just my advice. Records disappear sometimes.

Good luck to anyone retiring soon.

PO

 

[Valkyrie]

Thanks for the reply. Your agency has very little to say with when or if you retire. They do have a lot to do with getting the process started. Unless you have not been a federal employee for 31 days or more. https://www.opm.gov/retirement-services/csrs-information/planning-and-applying/#url=Apply

I have to get the paperwork from Colorado from my parent department, fill it out, send it back to Colorado and if there are no hiccups they send it to Cleveland, OH to payroll. If they find no problems and process it correctly then it goes to OPM. The agency may have zero to say about if you retire but they sure have a lot to do with making it happen.

Scout333, good advice and I have found that person. The new local HR person does not do retirements. I request and submit my paperwork to the same person at the parent department who has been sending the retirement estimates.

It should go pretty well. I have no breaks in fed service, been with the same agency the whole time, didn’t make any military deposit and have faithfully downloaded everything from my eopf. I go there every 60 days as they seem to no longer notify any one of new actions. Being close to the end I think once a week is prudent. Download anything placed in the file and save it off the .gov domain. Just my advice. Records disappear sometimes.

Good luck to anyone retiring soon.

PO

your agency has nothing to do with it. they do not do anything. u don't even have to tell them u are retiring. u could be there on friday leave turn in your ID's to security and never show up monday. Everything is with OPM. I retired last yr. there was an OPM retirement class they said nothing has to be said and when I was talking to my OPM retirement contact they told me the same thing. call the OPM number tell them u want to retire and one of their people will contact u and get it started. the one form an agency signs,if u don't want them to know your leaving the OPM contact has the auth to sign it for u, since it somewhat really means nothing.

 

[PessOptimist]

I realize the post below is three months old. Felt I should comment while updating my status. FWIW as usual.

your agency has nothing to do with it. they do not do anything. u don't even have to tell them u are retiring. u could be there on friday leave turn in your ID's to security and never show up monday. Everything is with OPM. I retired last yr. there was an OPM retirement class they said nothing has to be said and when I was talking to my OPM retirement contact they told me the same thing. call the OPM number tell them u want to retire and one of their people will contact u and get it started. the one form an agency signs,if u don't want them to know your leaving the OPM contact has the auth to sign it for u, since it somewhat really means nothing.

For some federal employees leaving their job may be as simple as Valkyrie states and there is no reason to let your supervisor or manager know. Just leave. For other federal employees just leaving without telling your supervisor or manager may lead to complications for you. What if you have a moveable property account that consists of more than the computer on your desk? Can you trust your coworkers to dispose of it properly? What if you have log ins to applications or hold a password for applications or equipment? All that stuff has to be resolved and I for one would not trust anyone at my agency to take care of all of it if I just “retired without notice”. Different strokes for different .govs.

I have decided not to retire at the end of the year due to personal circumstances. My new retirement date is 6/23/18. I Haven’t taken the time to figure out if extending that to the end of the month gets me more sick leave credit towards retirement. If anyone cares to comment, comments are welcome.

PO

 

[evilanne]

I thought it was better to retire last day of month, why not June 30th? I believe if you retire in middle of pay period, you don't get any leave for that pay period. Suggest you request an updated retirement estimate based on the new date(s). The way they calculate your time is informative. Sick leave credit only counts in monthly increments so you want to use up any extra