How does Reserve or National Guard retirement transfer over to federal service?

SSG Private RallyPoint Member — Tue, 05 May 2020 13:35:48 -0400

Do your years in the Army Reserve or National Guard transfer over when you get a federal job?

If so, are they discounted into points like military retirement OR is it prorated, for example; 10 years reserve equals 4 years federals service and you need 16 more to retire?

Response by CW5 Jack Cardwell made May 5 at 2020 2:08 PM

CW5 Jack Cardwell — Tue, 05 May 2020 14:08:53 -0400

You can buy back active duty time you have accumulated in the GUARD/Reserve and it can to applied to your Federal time in service. Search the OPM website for more details. Keep a copy of all paper work if you do buy time back.

Response by SFC Private RallyPoint Member made May 5 at 2020 2:17 PM

SFC Private RallyPoint Member — Tue, 05 May 2020 14:17:58 -0400

No, only your active duty time. So, if you did 10 years of NG with one 15 day AT every year, you'd have 5 months of AD time

Response by SGT Robert Wager made May 5 at 2020 2:40 PM

SGT Robert Wager — Tue, 05 May 2020 14:40:22 -0400

You can “buy back” your military time and have it counted for federal retirement. Your guard and reserve time will have to be computed for active duty time.

When I started at the USPS my active duty time counted towards my leave accrual time. So from day 1 I got 8 hours a pay period. I never bought back my time because reasons and I wish I had.

Response by CAPT Kevin B. made May 5 at 2020 5:06 PM

CAPT Kevin B. — Tue, 05 May 2020 17:06:40 -0400

I had about 10 years active and 4 reserve which equated to 11+ years on my retirement buy-in. That included boot, A School, going to war for summer vacations, etc. The HR types figured it all out from my pile of DD-214s and Annual Reserve Statements. Since I had to go FERS, that meant they calculated what 3% of all my base pay was. Turned out I needed to pay $10 Grand which I did over a two year period with a payroll deduction to avoid the interest kicking in later. In any case, buy-in early is paying more that the whole amount, every year. Killer investment when you crunch the effective rate. If you go the Fed route, make sure they calculate your "effective date" for leave purposes. It steps up from 4 hours a pay period to 6 hours after 3 years and 8 hours after 15 years. The sooner you start scraping in the larger numbers, the more fun time you can have. With 8 hours, you have to force yourself to not lose it.

Response by CPT Private RallyPoint Member made May 6 at 2020 9:32 AM

CPT Private RallyPoint Member — Wed, 06 May 2020 09:32:44 -0400

Per: OPM Wedsite "Creditable Service"

Military Service
Credit for Military Service
As a general rule, military service in the Armed Forces of the United States is creditable for retirement purposes if it was active service terminated under honorable conditions, and performed prior to your separation from civilian service for retirement.

Service Performed Before 1957
* creditable without deposit
Service Performed on or after January 1, 1957
* a deposit must be paid to credit the service to establish title to an annuity or to compute your annuity
Exception for individuals with a portion of their FERS annuity computed under CSRS rules
* If your military service was performed before the effective date of your FERS coverage, the military service will be credited under CSRS rules.

Response by CPT Private RallyPoint Member made May 6 at 2020 9:35 AM

CPT Private RallyPoint Member — Wed, 06 May 2020 09:35:14 -0400

Per OPM Website "Military Retired Pay"

FERS Information
MILITARY RETIRED PAY
Crediting Military Service for FERS When You Are Receiving Military Retired Pay
You cannot receive credit for any military service in your FERS retirement computation, if you are receiving military retired pay, unless you were awarded the retired pay:

Due to a service-connected disability either incurred in combat with an enemy of the United States or caused by an instrumentality of war and incurred in the line of duty during a period of war, or
Under the provisions of Chapter 1223, Title 10, U.S.C. (pertaining to retirement from a reserve component of the Armed Forces).
However, you can elect to waive the retired pay and have the military service added to your civilian service in computing your FERS annuity. In addition to waiving your military retired pay you MUST pay a deposit for your post 1956 military deposit prior to separating from your agency in order for it to be creditable in your FERS retirement case.

How to Waive Your Military Retired Pay
If you want to waive your military retired pay to receive credit for military service in the computation of your FERS or CSRS benefit, you should write the Retired Pay Operations Center at least 60 days before your planned retirement. Send your waiver to:

Defense Finance and Accounting Service
U.S. Military Retirement Pay
8899 E 56th Street
Indianapolis, IN 46249-1200
You can "fax" your request to [login to see] .

Suggested wording for your request is as follows:

"I (Full Name and Military Serial Number) hereby waive my military retired pay for Civil Service Retirement or Federal Employees Retirement System purposes effective (The day before your annuity begins). I hereby authorize the U.S. Office of Personnel management to withhold from my (CSRS or FERS) annuity any amount of military retired pay granted beyond the effective date of this waiver due to any delay in receiving or processing this request."

Response by CPT Private RallyPoint Member made May 6 at 2020 9:40 AM

CPT Private RallyPoint Member — Wed, 06 May 2020 09:40:50 -0400

You can buy your time back... If you can afford it, I encourage you to do so.

Per: DFAS https://www.dfas.mil/civilianemployees/militaryservice/militaryservicedeposits/

How Do I Buy Back My Military Time?
Who does this apply to?
Employees who have served in the military and wish to have their military time credited towards their civilian retirement.

Are you eligible?

If you have any prior active duty military service, you are eligible to buy back that time.
How to buy back your military time:

1.Complete a separate Estimated Earnings During Military Service request form RI 20-97 for each branch of service.

2.Attach your Certificate of Release or Discharge from Active Duty, DD 214 (or equivalent), and any available records of pay or promotions to the RI 20-97 and send to the appropriate military finance center. Verification of your service is required to obtain your estimated earnings. A list of documents that may be used to verify your service is on the Acceptable Documents page.

3.How long will it take to process my request for estimated earnings? If you have not received notice after 30 days, contact the appropriate military finance center.

4.The military finance center will send you an estimated military earnings computation via mail. When you receive it: ◦If you are a FERS employee, fill out pages 1 and 5 of the SF 3108. (Page 2 will be filled out by Human Resources Personnel). (PDF - 68KB).

◦If you are a CSRS employee who was first employed in civilian service before 10-1-82. fill out pages 1 and 5 of the SF 2803. (Page 2 will be filled out by Human Resources Personnel). (PDF - 217KB).

◦If you are a CSRS employee first employed after 10-1-82, fill out pages 1 and 5 of the SF 2803. (Page 2 will be filled out by Human Resources Personnel). (PDF - 288KB).

5.Send your RI2097 (or estimated earnings statement), DD 214, and SF2803 or SF3108 to your servicing personnel office. If you are employed by DFAS, DISA, DCAA, DoDIG, DTIC, DAU, or NDU, your servicing personnel office is the DFAS HR Shared Services Center in Indianapolis. Please mail to DFAS HR Shared Services Center, Benefits and Services Division, 8899 E. 56th Street, Indianapolis In 46249-6485. Note: completing and submitting these forms does not obligate you to buy back your time.

6.We will certify your application and forward it to your payroll office.

7.The payroll office will calculate the amount of your military deposit and inform you by letter the amount you owe and instructions for making payments.

8.Make your payments directly to your servicing payroll office, either by check/money order or through payroll deductions - as directed by your payroll office. The deposit may be made in a single lump sum or through installments. Your deposit account balance and each payment will be reflected on your LES.

9.When you have completed your payments, your servicing payroll office will send you a letter stating the deposit has been paid along with the equivalent of a completed OPM Form 1514 (PDF -205KB) which shows details of the computation. You will receive a statement along with a copy of the payroll worksheet showing a zero balance due.

10.Forward a copy of the completed equivalent of the Paid In Full letter to your servicing personnel office for it to be placed in your official personnel file. If you are employed by DFAS, DISA, DCAA, DoDIG, DTIC, DAU, or NDU, your servicing personnel office is DFAS and please mail to DFAS Shared Services Center, Benefits Division, 8899 E. 56th St., Indianapolis, IN 46249-6485. The statement can also be faxed. Fax number is [login to see] Call: [login to see] Attn: Benefits Division.

Defense Finance Accounting Service CivilianEmployees militaryservice militaryservicedeposits...

The official website of the Defense Finance Accounting Service (DFAS)

Response by Lt Col Jim Coe made May 6 at 2020 3:02 PM

Lt Col Jim Coe — Wed, 06 May 2020 15:02:31 -0400

CAPT Kevin B. provided an excellent answer. The key is you have to pay into the federal retirement plan early to get additional money out when you retire from civil service.

There's an alternative you need to consider, staying in the Reserve Component. The Government in general and the Services in particular are very supportive of reservists. You get about a month of paid military leave to cover your "one weekend a month and two weeks a year." If you are mobilized, I think you get about an extra month of military leave. That means you get your military pay and your full civil service pay when you're on reserve duty up to two month per year (it renews every year). Also, your government organization is obligated to provide you with a job of the same type and grade after you complete and extended active duty period. When you reach retirement age, you'll be able to draw your reserve retirement pay and your civil service retirement pay. Plus you'll probably have TRICARE for life. Think your decision through carefully.