Understanding Federal Retirement Eligibility

Navigating the different types of federal retirement can be confusing but understanding your eligibility is an important step in planning for your future. All federal retirees may qualify for an annuity under categories that depend on age and years of service. Here’s a breakdown of the main types of retirement options available for federal employees and what’s required for each.

Regular Retirement

If you’re planning to retire after meeting the minimum age and years of service, you may qualify for what’s called a regular retirement. The rules differ slightly depending on whether you’re under the FERS (Federal Employees Retirement System) or CSRS (Civil Service Retirement System).

• Under FERS: You may retire with full benefits if you meet any of the following:
  • Age 62 with 5 years of service
  • Age 60 with 20 years
  • Your Minimum Retirement Age (MRA) with 30 years
  • MRA with 10 years (but benefits are reduced)

Your MRA depends on when you were born, starting at age 55 for those born before 1948 and gradually increasing to 57 for those born in 1970 or later.

• Under CSRS/CSRS-Offset:
  • Age 62 with 5 years of service
  • Age 60 with 20 years
  • Age 55 with 30 years

Early Retirement

This is often offered when agencies need to reduce staff. It’s available to employees across all retirement systems:

• Age 50 with 20 years of service
• Any age with 25 years

For CSRS/CSRS-Offset, at least one of the last two years must have been under that system.

Discontinued Service Retirement

If you’re let go from your job involuntarily—not due to misconduct—and meet one of these requirements, you may qualify:

• Age 50 with 20 years
• Any age with 25 years

Like early retirement, CSRS requires that at least one of the last two years be under the CSRS system. In both cases though, at least five years must be civilian service.

Deferred Retirement

If you leave your federal job before being old enough to retire but have enough service time, you might still qualify for benefits later:

• CSRS/CSRS-Offset: At least 5 years of service and no refund of your retirement contributions.
• FERS: Similar rules, with eligibility starting at age 62 with 5 years of service, 60 with 20, or MRA with either 10 (but benefits are reduced) or 30 years.

Disability Retirement

If you become unable to perform your job due to disability:

• CSRS requires at least 5 years of service.
• FERS requires just 18 months.

You must be unable to do your current job or any similar job in your agency, and the agency must confirm that there’s no suitable role for you at your level.

Understanding these categories can help you better prepare for the retirement you want. If you’re unsure where you currently stand, let’s review your service history together and clarify how the federal retirement system applies to you. Give us a call!