If you’re retiring at the end of this year, the clock is already running. End of year is the most popular time to retire in government, which means HR offices and OPM are at their busiest.
Here’s exactly what has to happen, and when, so your first check isn’t delayed.
First: pick and confirm your date
Everything else is built backward from your retirement date. Confirm it with your HR office now, so they know it’s coming and can tell you about any agency deadlines for submitting your package.
10–12 weeks out (now): get your numbers
- Request an annuity estimate from HR.
- Pull your SF-50s and check your service computation date. Errors here can change your pension.
- Finish any military deposit or civilian redeposit before you separate.
8–10 weeks out: build your retirement package
- Complete your FERS retirement application (SF 3107) with Schedules A, B and C.
- Make your survivor election. If you’re married and choosing less than a full survivor benefit, your spouse has to consent.
- Ask HR how your agency uses OPM’s Online Retirement Application. Most retirements are now filed online rather than on paper.
6–8 weeks out: insurance and TSP
- Confirm you meet the 5-year rule to keep FEHB and FEGLI in retirement.
- Decide on your FEGLI reductions in retirement.
- Update your beneficiaries: TSP (TSP-3) and FERS (SF 3102).
- Remember that TSP withdrawals are separate from OPM. You don’t have to decide on them before you retire, and you can wait.
2–4 weeks out: get your money ready
- Set aside 3–6 months of expenses. Until OPM finalizes your annuity, you’ll be on interim pay, which is less than your full pension.
- Know what your annual leave payout will be.
- Set up direct deposit and tax withholding on your retirement package.
After your last day
- Your agency sends your retirement package to OPM.
- Interim pay starts while OPM processes your case.
- Your final annuity can take months to be calculated, and there’s no guaranteed timeline.
Keep copies of everything you submit. If questions come up later, you’ll want your own record.
The bottom line
Start your retirement paperwork now, not in December. Confirm your date, get your numbers, build your package, and have a cash cushion ready for the months on interim pay.
Are you a federal employee within 12 months of retirement, or already retired, with $1 million+ invested? Book a free 15-minute Fit Call. You can also download our free Federal Retirement Roadmap.
Educational only, not tax, investment, or legal advice. Please consult your own tax, legal and financial advisors for personalized advice. Haws Federal Advisors | HawsFederalAdvisors.com