Understanding Your Federal Retirement Pillars
Understanding your retirement options requires more than a glance at the numbers. We specialize in translating FEGLI, FERS, CSRS, TSP, and Social Security into clear, actionable strategies.
FERS & CSRS Pensions
Annuity calculations, high-3 average salary, credible service years, and survivor annuity choices.
Learn MoreThrift Savings Plan (TSP)
Traditional vs Roth TSP, allocation funds (G, F, C, S, I, L), and in-service & post-retirement options.
Learn MoreFEGLI Life Insurance
Basic, Option A, Option B, and Option C. Understanding dramatic Option B rate increases at age 50+.
Learn MoreSocial Security & Supplement
FERS Annuity Supplement before age 62, WEPO/GPO implications for CSRS, and optimal filing ages.
Learn MoreFERS & CSRS Federal Pensions
Your federal annuity is a defined benefit pension calculated by OPM based on your high-3 average salary, length of creditable federal service, and retirement multiplier.
FERS Annuity Formula
- Standard Rate: 1.0% × High-3 Salary × Years of Service (Under age 62 or under 20 years).
- Enhanced Rate: 1.1% × High-3 Salary × Years of Service (Age 62+ with 20+ years of service).
- Cost of Living Adjustments (COLA): Generally begins at age 62 with a indexed calculation.
Key Retirement Eligibility
- MRA + 30: Minimum Retirement Age (56–57) with 30 years of creditable service (Unreduced).
- Age 60 + 20: Age 60 with 20 years of service (Unreduced).
- MRA + 10: Reduced annuity option (5% reduction per year under age 62).
FERS High-3 Annuity Estimator
Estimate your annual FERS annuity based on your High-3 average salary, creditable service years, and retirement age — then apply a survivor benefit deduction to see the net pension paid to you.
Age 62+ with 20+ years → 1.1% multiplier applies.
This estimator provides an approximate gross FERS annuity before FERS Supplement, taxes, FEHB premiums, and COLA adjustments. Survivor deductions reflect standard OPM reduction rates. Book a consultation for a precise calculation.
FEGLI Life Insurance — The Age 50+ Price Trap
The Federal Employees' Group Life Insurance (FEGLI) program provides valuable coverage early in your career. However, Option B premiums increase exponentially every 5 years starting at age 50.
FEGLI Option B Premium Escalation Example
A federal employee earning $100,000 with 5x Option B ($500,000 coverage):
By age 65, Option B premiums can cost over $1,000/month for $500k in coverage. We help federal employees replace costly Option B policies with locked-in private term or permanent life insurance before age 55.
FEGLI Option B Premium Comparison
FEGLI Option B premiums climb steeply every five years as you age. Compare what you'd pay keeping Option B against a level-premium private term policy across every age band — and see the lifetime savings of replacing it before rates spike.
Coverage = $100,000 × 5 = $500,000
A level private policy locks one rate for the full term. Estimated private cost: $100/mo for $500,000 of coverage. Actual rates depend on health underwriting.
FEGLI Option B premiums use official OPM biweekly rates converted to monthly (26 pay periods ÷ 12). Cumulative figures assume 5 years in each age band for illustration. This is an estimate — book a consultation for a personalized FEGLI audit.
Monthly Premium by Age Band
FEGLI Option B (gold) skyrockets with age while a private term policy (grey) stays level.
| Age Band | FEGLI / mo | Private / mo | FEGLI Cumulative | Private Cumulative | Saved |
|---|---|---|---|---|---|
| 50–54 | $198 | $100 | $11,895 | $6,000 | $5,895 |
| 55–59 | $437 | $100 | $38,090 | $12,000 | $26,090 |
| 60–64 | $1,022 | $100 | $99,385 | $18,000 | $81,385 |
| 65–69 | $2,091 | $100 | $224,835 | $24,000 | $200,835 |
| 70–74 | $4,128 | $100 | $472,485 | $30,000 | $442,485 |
| 75–79 | $8,125 | $100 | $959,985 | $36,000 | $923,985 |
| 80+ | $15,167 | $100 | $1,869,985 | $42,000 | $1,827,985 |
By replacing Option B with a level private policy from age 50 through 80+.
Thrift Savings Plan (TSP) Optimization
The TSP is your primary defined contribution retirement savings vehicle. Protecting your TSP against sequence-of-returns market risk near retirement is paramount.
In-Service Rollovers (Age 59½+)
Active federal employees age 59½ or older can transfer a portion of their vested TSP into an IRA or Fixed Indexed Annuity while continuing to contribute and receive employer match.
Safe Income Floor Strategy
By rolling a portion of TSP funds into a Fixed Indexed Annuity with a lifetime income rider, you guarantee zero market downside loss while locking in a lifetime monthly payout.
Tax Strategy (Roth vs Traditional)
Structuring withdrawals carefully between pre-tax Traditional TSP and tax-free Roth TSP avoids unexpected Medicare IRMAA surcharges and tax bracket spikes.
Have Questions About Your Federal Benefits?
Schedule a 1-on-1 consultation with Jennifer Adams to calculate your high-3, analyze your FEGLI cost, and review your retirement timeline.