Good Day Postal Employees……and a Very Happy New Year!!!
This has been a very busy month with emails and retirements seminars. It still amazes me how many employees are still confused regarding their benefits in retirement, and the very calculation of their retirement. Many still confuse CSRS rules with FERS (very different) rules in retirement (monthly annuity/pension) calculations. And as I have said for years, there are no cookie cutter retirements. It’s no different…. with 2 exactly the same salaried employees. When filing THEIR RESPECTIVE TAXES, In NO way would it be that those two employee’s tax return would net exactly the same results. Of course it wouldn’t. There would no doubt be a difference in household family tax deductions, almost NO ONE EVER has the same amount of TSP, not every one is entitled to the Special Supplement. Some non-career time is credible if you don’t pay it back (CSRS vs FERS diffences), some is credible with paying it back….and some non-career years you cannot buy back at all. In retirement and as in tax returns….all 3 factors (FERS, Social Security & TSP) play important financial roles in each individuals retirement, which is why it would not be the same…and added..almost never is.
So again, your personal financial information plays a huge role in how much income you will have to retire on. The notion that the CSRS is SO MUCH BETTER, is only because employees will not put the maximum (matching) percentage in TSP to receive the matching funds from the employer. And the biggest percentage of a FERS employee’s retirement should be their TSP…..and its not…and I do enough to know….you all out there are not doing right by yourselves if you don’t FULLY FUND your TSP.
If I say that the complaints are so LOUD and PROFOUND…just saying that… lets you know…..its NOT where you WORK particularly….its for WHOM you work!! Because that IS the only common thread.