FERS Retirement Checklist: 10 Must-Do Steps

5+ Years Before Retirement

1. Verify your service computation date (SCD) with HR. Errors in your SCD can affect your pension calculation. Request a benefits estimate from OPM or use the retirement calculator on your agency's HR portal.

2. Review your TSP allocation. As you approach retirement, consider shifting toward more conservative funds (G Fund, F Fund) to protect your balance from a market downturn right before you retire.

2-3 Years Before Retirement

3. Decide on your retirement date. Your FERS pension is calculated based on your high-3 average salary and years of service. Timing your retirement to maximize your high-3 can increase your pension permanently.

4. Understand the FERS Supplement. If you retire before 62 with 20+ years of service at your Minimum Retirement Age, you're eligible for the FERS Supplement — a temporary payment that bridges the gap until Social Security kicks in.

5. Evaluate FEHB continuation. Your Federal Employees Health Benefits coverage continues into retirement if you've been enrolled for the 5 years immediately before retirement. Decide if this is the best option or if Medicare Advantage might be better.

1 Year Before Retirement

6. Plan your TSP withdrawal strategy. You have options: lump sum, monthly payments, life annuity, or a combination. Each has different tax implications. We help federal employees model these scenarios.

7. Decide on FEGLI continuation. Federal Employees Group Life Insurance premiums increase significantly after age 65. Many retirees are better served by a private policy or IUL instead.

8. Apply for Social Security (if age 62+). You can apply up to 4 months before you want benefits to start. Coordinate your claiming age with your FERS pension and TSP for maximum total income.

At Retirement

9. Submit your SF-52 retirement application at least 60-90 days before your intended retirement date. Processing times vary by agency.

10. Set up your post-retirement income plan. Your FERS pension, Social Security, and TSP withdrawals need to be coordinated for tax efficiency and income maximization. This is where working with an FRC-certified consultant like ACM makes the biggest difference.