Welcome Guest! To enable all features please Login or Register.

Notification

Icon
Error

Federal Employees Benefits Q &A

Do you have questions about your federal employee CSRS or FERS pension/annuity or federal employee retirement planning? Concerns about your Thrift Savings Plan (TSP) account or what about federal employee pay and leave issues?

Ask your question here.

The Q&A forum is moderated by Ed Zurndorfer -- an expert on federal employee benefits -- and a Certified Financial Planner, chartered life underwriter and chartered financial consultant in Maryland.

Zurndorfer is also the author of several federal employee benefits guides published by Federal Employees News Digest.

Your question will be put into a message queue and submitted for review. We cannot guarantee that all questions will be answered, however any answered questions will appear below, and some will also be featured in our daily Federal Daily e-newsletter (Subscribe here). Federal Soup users should not submit replies to the questions posted, as we leave the replies for the moderator only. Any replies to questions other than the moderator will be deleted.

Please do not submit employee benefits questions to the webmaster or the forum moderator.

Note: FederalSoup.com has attempted to compile information that is as accurate and current as possible for federal employees. Federal policies, laws, regulations, statistics and addresses continually change. Therefore, no warranties are made as to the accuracy or completeness of the information presented in this column. If additional clarification or information is needed, it is suggested that competent and professional assistance be sought. Mr. Zurndorfer does not moderate other forums on FederalSoup and will not reply to general FederalSoup inquiries submitted in this Q&A forum.

Options
Go to last post Go to first unread
FedCivServ  
#1 Posted : Thursday, February 09, 2017 2:21:03 PM(UTC)

Rank: Senior Member

Groups: Registered
Joined: 9/9/2013(UTC)
Posts: 822

Was thanked: 79 time(s) in 71 post(s)
Ed, I am interested in the VERA/VSIP increase to 40k that is in the NDAA this year and will be in place til 30 sep 18. I am eligible for an MRA retirement in Sep 18 (35 years service including sick leave). But I don't know if it would be worth it to go out in Sep vice Dec, which is what I'm currently planning. For the extra 3 months, if I kept working, I'd make about 36k. But my annual leave lump sum payout would happen in 18 vice 19, which will be about 440 hours. With the extra income from that, plus the extra income from the 40k (if I got it), would the tax implications make it not even worth considering? We have a very high joint household income and no kids to deduct. thanks!
Ed Zurndorfer  
#2 Posted : Thursday, February 09, 2017 4:04:24 PM(UTC)

Rank: Senior Member

Groups: Registered
Joined: 9/10/2001(UTC)
Posts: 5,159

Was thanked: 96 time(s) in 87 post(s)
Do not let taxes be the only issue here. If retiring by 9/30/2018 results in an extra $40,000 in income to you, you should definitely consider it. You should make every effort to maximize your TSP contribution (maximum of $24,000 during 2017 perhaps higher in 2018) during 2018 if you retire by 9/30/2018.
FedCivServ  
#3 Posted : Monday, February 13, 2017 1:35:31 PM(UTC)

Rank: Senior Member

Groups: Registered
Joined: 9/9/2013(UTC)
Posts: 822

Was thanked: 79 time(s) in 71 post(s)
Thank you... I just wanted to be sure I wasn't giving $ away. I am maximizing my TSP to 24k (have for 20 years now, done the max and the CUC after I turned 50) so if I understand you, I can still do 24k in 2018 even if I go in September? that's good to know and so I will cross my fingers they will offer me the VERA/VSIP in 2018! thanks
Ed Zurndorfer  
#4 Posted : Monday, February 13, 2017 2:15:24 PM(UTC)

Rank: Senior Member

Groups: Registered
Joined: 9/10/2001(UTC)
Posts: 5,159

Was thanked: 96 time(s) in 87 post(s)
You are most welcome. Yes, you should make every effort to maximize your TSP contributions in 2018 even though you may be retiring before the end of the calendar year.
Rss Feed  Atom Feed
Users browsing this topic
Guest
Forum Jump  
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.


This page was generated in 0.398 seconds.