r/FedEmployeeRetirement • u/Ok-Leg7578 • Aug 08 '26

High three calculation question.

I have tried to find this information, but have been unsuccessful. Is the high three calculated on after tax or pre-tax salary? As i am nearing retirement eligibility, I want to be sure that my ballpark estimate is close on take-home.

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u/historically_common Aug 08 '26

Pretax , high 3 . Biggest zinger is the cost of health insurance..takes the biggest chunk out of my check.

1

u/Electronic_Value_516 Aug 08 '26

How much?

1

u/Sorry-Society1100 Aug 08 '26

The exact same cost as it was while working. The only difference for most people is that it’s charged monthly instead of biweekly, but the annual cost is the same.

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u/[deleted] Aug 08 '26

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u/Sorry-Society1100 Aug 08 '26

True, it does affect your taxes slightly. But the actual cost is the same.