FERS Election Frequently Asked Questions

This section contains a list of frequently asked questions and their answers regarding FERS election opportunities.

• How do I know if I am eligible to transfer to FERS?
• I've decided that I want to transfer to FERS. How do I do it?
• If I transfer from CSRS to FERS, how will my years of CSRS service be treated?
• If I elect to transfer to FERS, what are the major features of TSP and how does this differ from TSP under CSRS?
• How does the TSP work for a FERS employee?
• Who can I talk to about my decision?
• If I decide to transfer to FERS from CSRS can I switch back?
• If I don't decide to transfer to FERS now, will I have another opportunity to transfer?
• What is considered a break in service?
• Can my sick leave be used to meet the minimum length of service for retirement eligibility?
• What is a PEBES and do I need to request one?

How do I know if I am eligible to transfer to FERS?

The Standard Form 50 (or equivalent personnel form) that shows your current appointment will say whether you currently have CSRS coverage, CSRS Offset coverage, or only Social Security coverage. If you have any questions about what your current retirement status should be, contact your servicing personnel office. Be sure that they have accurate records of all your Federal service. Even a few days can make a difference.

The most common groups of employees who have an opportunity to elect FERS coverage are as follows.

• Employees who are returning to Federal employment after a break in service of more than 3 days, who already have at least 5 years of Federal civilian service and who were previously covered by CSRS. If you are in this group and in a position that provides retirement coverage, you now have CSRS or CSRS Offset coverage.
• Certain employees with CSRS coverage who are moving to a senior position that, by law, is also covered by Social Security.
• Employees who are converted from an appointment that is excluded from retirement coverage, and whose prior service history precludes automatic FERS coverage. For example, after a break in service, you may have obtained a temporary appointment and have now been converted back to a career appointment.
• Employees who have an appointment, such as a term appointment, that is excluded from CSRS coverage, but not from FERS coverage, and whose prior service history prevents automatic FERS coverage. If you are in this group, you have Social Security coverage only.
• Annuitants who retired under CSRS or CSRS Offset provisions and who have been reemployed after a break of more than 3 days on other than a temporary or intermittent basis.
• Term Appointments-A 5-year test is used to determine whether an employee who is subject to Social Security is automatically covered by FERS. If you satisfy the 5-year test, you are not automatically covered by FERS, but you may still be eligible to elect FERS coverage. An employee who performed 5 years of creditable civilian service as of December 31, 1986 is excluded from automatic FERS coverage.
• If you receive a term appointment* after a 3-day break in service, you will generally be excluded from CSRS retirement coverage, even if you had CSRS coverage in the past. In most circumstances you will be subject to Social Security. If you later receive an appointment that confers CSRS or CSRS Offset coverage, the service under the term appointment becomes creditable for retirement purposes under that coverage.
• If you receive a term appointment under Social Security, you also have the option to elect FERS.

*Because term appointments are now often used instead of appointments that confer CSRS or CSRS Offset coverage, you may want to choose to elect coverage under FERS if you should have the opportunity because you may never have a later appointment with any other retirement coverage which will allow credit for your service.

I've decided that I want to transfer to FERS. How do I do it?

You must complete an election form, SF 3109, Election of Coverage, and return it to your servicing personnel office. An election to transfer to FERS is effective at the beginning of the next pay period after your agency receives the completed form. An election to transfer to FERS is irrevocable once it has become effective. If you transfer to FERS, you then have a personal 30-day period to enroll in the Thrift Savings Plan or to change your enrollment.

Your spouse does not need to consent to a decision to change retirement plans. However, if 1) you have a former spouse who is entitled, by court order, to a portion of your CSRS annuity or CSRS survivor benefits, 2) the court order is on file at OPM, 3) the former spouse has not remarried before reaching age 55, and 4) the former spouse is still living, you cannot transfer to FERS without that former spouse's consent. Your former spouse needs to complete SF 3110, Former Spouse's Consent to FERS Election in order for you to be able to transfer.

OPM can waive this requirement only in very limited circumstances. If you don't know whether OPM has a qualifying court order on file, or want to request a waiver of the consent requirement, ask your servicing personnel office for Standard Form 3111, Request for Waiver, Extension, or Search.

Finally you may want to file a new designation of beneficiary form, SF 3102, Designation of Beneficiary, Federal Employees Retirement System, since CSRS designations are cancelled upon a transfer to FERS.

Check the necessary forms section of this website for electronic versions of these forms.

If I transfer from CSRS to FERS, how will my years of CSRS service be treated?

For most people, transferring to FERS means you may take advantage of the features of both CSRS and FERS. (The exception is if you have less than 5 years of creditable civilian non-Offset CSRS service at the time you transfer. All of your CSRS Service will be switched over to FERS and any excess contributions can be returned to you.)

All your CSRS service is creditable toward eligibility for death and disability benefits, as well as retirement, so you and your family do not risk any gaps in protection if you transfer to FERS.

If I elect to transfer to FERS, what are the major features of TSP and how does this differ from TSP under CSRS?

As a CSRS participant, you can contribute up to 5 percent of your basic pay each pay period to your TSP account. You do not receive any agency contributions.

As a FERS participant, you can contribute up to 10 percent of your basic pay each pay period to your TSP account. You receive the following important benefits:

• Agency Automatic (1%) Contributions.
• Agency Matching Contributions for the first 5% you save.
• Immediate vesting in Agency Matching Contributions and vesting generally after three years of Federal service in Agency Automatic (1%) Contributions.

For more information, see the FERS Transfer Handbook section on Thrift Savings Plan for FERS. For extensive information about the Thrift Savings Plan, go directly to the TSP website.

How does the TSP work for a FERS employee?

The TSP is one of the three parts of a FERS employee's retirement package; one part is the TSP, the second part is the FERS Basic Annuity, and the third part is Social Security. Participating in the TSP does not affect the amount of the employee's Social Security benefit, nor the amount of the employee's FERS Basic Annuity. Each is a separate part of the overall FERS retirement package. However, the TSP is especially important to a FERS employee because the formula used to compute an employee's FERS Basic Annuity is less generous than the formula used to compute the CSRS annuity.

When you join FERS, your agency sets up a Thrift Savings Plan account in your name. Every pay period, your agency automatically puts in an amount equal to 1% of your basic pay. This money is called your Agency Automatic (1%) Contribution. It is not a deduction from your basic pay. It is an amount your agency contributes for you based on your basic pay per pay period.

In addition, you can contribute up to 10% of your basic pay per pay period to your Thrift Savings Plan account. If you contribute to your Thrift Savings Plan account, you will also receive Agency Matchings Contributions as follows:

• The first 3% you save each pay period will be matched dollar for dollar, and
• The next 2% you save each pay period will be matched 50 cents on the dollar.

Your own contributions and your Agency Matching Contributions as well as the earnings attributed to these contributions belong to you right away. There is no waiting (vesting) period. You are vested in the Agency Automatic (1%) Contributions and attributable earnings after you have completed 3 years of Federal (generally, civilian) service (2 years for some non-career participants).

Your TSP benefit can significantly increase your retirement income if you start early in your career with the Federal Government, and as a FERS employee, take advantage of the Agency Matching Contributions -- which you only receive when you contribute your own money. Additionally, when you start early, your earnings on all amounts in your account will compound over a longer period of time.

For more information, see the FERS Transfer Handbook section on Thrift Savings Plan for FERS. For extensive information about the Thrift Savings Plan, go directly to the TSP website.

Who can I talk to about my decision?

You should have received an employee letter explaining where you can get help.

Your agency should have personnel who are available to answer your questions and discuss this decision with you. Contact your servicing personnel office for help.

If I decide to transfer to FERS from CSRS can I switch back?

No. If you choose to transfer to FERS you will not have the opportunity to switch back.

However, if you are a CSRS employee who returns to Federal employment, after a break in service of more than 3 days, you may elect to transfer to FERS during the first 6 months of your reemployment.

If I don't decide to transfer to FERS now, will I have another opportunity to transfer?

You will not have another chance to choose FERS coverage unless you leave Federal service for more than 3 days. If you are a CSRS employee who returns to Federal employment, after a break in service of more than 3 days, you may elect to transfer to FERS during the first 6 months of your reemployment.

What is considered a break in service?

Any period of separation that is more than three calendar days.

Can my sick leave be used to meet the minimum length of service for retirement eligibility?

No. Your days of unused sick leave are used in counting your number of years and months of service for annuity computation purposes only. Your sick leave cannot be used in computing your "high-3" average salary or for meeting the minimum length of service for retirement eligibility.

What is a PEBES and do I need to request one?

PEBES stands for Personal Earnings and Benefit Estimate Statement (PEBES). This is a statement compiled by the Social Security Administration (SSA) which shows your Social Security earnings history and how much Social Security taxes you have paid into the program. It also estimates your future benefits and tells you how to qualify for those benefits.

The PEBES can be a great help to you in planning for your retirement. Note: the PEBES is not adjusted for the Windfall Elimination Provision (WEP). Most CSRS benefits will be reduced by the WEP. For more information on the WEP click here.

The PEBES is provided to you at no charge by the SSA. If you would like to request a PEBES electronically you may click on the link below and you will be taken to the SSA website. This browser window will display the SSA's PEBES home page.

Request a PEBES electronically.