All Posts

Should you wait until age 62?

April 16, 2021 | FERS PensionGeneral Financial Planning

FED Facts Friday - FERS - Should I wait for 62 or take pension at FRA

As a federal employee covered under FERS, you have an unreduced pension under certain conditions

One of these is by reaching 30 years of credible service - This qualifies you to take your ,pension at your FRA or full retirement age

But waiting until you're 62 grants you an additional 0.1 on your multiplier factor - does that really matter

0.1 is actually a 10 percent increase - while nit might not seem like much, every cost of living adjustment (cola) is on this higher number

we've done the math, of course depending on your HI-3, this could be 200-600 plus dollars more pe month. but here is the real factor

Every cola is now on a higher value. That compounds ove you retirement timeline and it adds thousands to your monthly income. Not bad at all

Categories

Recent Posts

Home renovations that are worth the money
Home Upgrades That ARE and AREN’T Worth The Money

Jun 23, 2025
How is Social Security Income Taxed?

Apr 3, 2025
Why is Warren Buffett Holding Cash?

Mar 6, 2025