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Disability Retirement


The federal government allows employees who are unable to work to retire under a disability retirement. It is in the best interest of both employees and the federal government for employees to remain gainfully employed in their current grade or pay level, as long as they can provide useful and efficient service without endangering themselves, others or government property.
Disability retirement should be the very last option and should be used only when attempts have been made to preserve an individual's employment, and those attempts have failed.

Order our Disability Retirement guide to educate yourself on the rules and regulations concerning disability retirement for federal employees.

To read today's top news stories on federal employee pay, benefits, retirement, job rights and other workplace issues visit FederalDaily.com.
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eva l  
#1 Posted : Tuesday, January 22, 2013 9:29:18 AM(UTC)

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When a FERS disability annuitant who is receiving SSDI regains gainful work status in accordance wih the SSA reglations, the SSA suspends the payment of SSDI in any month during the trial work period and then the following 36 month of gainful employment (earning over $1020 per month).

However, OPM does not recalcate the FERS annuity to account for the annuitant losing the SSDI.

In a recent case won by our favorite disablity attorney, Robert McGill, the federal circuit court ruled againt OPM. IF an annuitant loses his or her SSDI because the annuitant returns to work during the trial period, OPM is required to recalcuate the annuity back to the full amount (the 100%, 60% or 40% reduction no longer applies under these circumstances of the annuitant returning to a part time or lower paying job for example, up to the 80% limitation).

So what this means is that a FERS annuitant will receive the full annuity and work up to 80% of the former salary (please note that the 80% is the current rate of your GS-X step X - not really a problem to calculate since the rates are frozen) and will no longer be tied to the SSDI if the annuitant can work part time, for example.

Before we celebrate too much, the downside is that it will be an administrative nightmare for OPM to recalculate and pay us the corrected annuity.

http://www.fedsmith.com/2013/01/22/stephenson-v-opm-a-major-victory-for-the-federal-worker/
Snowed  
#2 Posted : Tuesday, January 22, 2013 9:36:49 AM(UTC)

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Great info!
March for Justice!
oktoots  
#3 Posted : Tuesday, January 22, 2013 10:28:21 AM(UTC)

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Yes! Mr. McGill has been working on this for quite a while. OPM better straighten itself out in order to deal with more complex calculations.
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