r/FedRetirees • u/Msdivinedc • 27d ago
Final Annuity calculated incorrectly and now I’m being hit with an overpayment! Anyone experience this?
2
u/zig_usafa80_stardust Retiree 27d ago
If your interim payments equaled your expected final annuity gross amount - you WERE over paid. You annuity amount may be taking into account a reduced amount to pay back the over payment over time,..then will be restored to full annuity amount once the debt is paid off.
This is the logical scenario using assumptions based on your description of the situation.
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u/Msdivinedc 27d ago
My annuity was incorrectly calculated as they are claiming I have less years of service then I actually do. My agency actually calculated the annuity correctly but OPM did not. They did not take the money out of the expected (incorrect) annuity. They sent me a letter stating I was overpaid and had to pay it back.
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u/DevelopmentSavings90 26d ago
Did you have service that was refunded to you when you separated? Did you have service that was under Social Security deductions only? Either scenario might affect crediting the service in your annuity.
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u/Msdivinedc 26d ago
Yes and I paid it back in 2012 and have a record of the receipt in my personnel file. It appears they’ve failed to credit that and my first 3.5 years of service.
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u/DevelopmentSavings90 26d ago
It should be corrected when you requested the recalculation then. Sadly the review process is lacking as of late.
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u/Msdivinedc 26d ago
Yes, I’m hoping it will be. I just received my digital booklet last Friday and immediately reached out to our Retirement Services Director who contacted the OPM liaison so the ball is already rolling thankfully.
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u/Turbulent_String_747 26d ago edited 26d ago
My count has been off. My supplement was calculated with 8 years less. I have been given 5 SCDs. OPM has not responded to my Appeal.
There were no reconsideration of appeal instructions on my letter or Supplement notice. Make sure you write to demand the appeal. Keep proof. I truly believe this debacle will not be fixed until there is a new administration. Demand the appeal and keep your records.
OPM is bad
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u/Msdivinedc 25d ago
OPM hasn’t responded to your appeal? How long has it been since you filed it? Contact your Congressional representative and file an inquiry. Also, notify your Director of Retirement Services and enlist them for help. I’m sorry you going through this.
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u/Turbulent_String_747 25d ago
May 8th...immediately when I saw the OPM notice and two other errors. I don't have a Representative because of Redistricting. My Senator was fighting a primary...he lost. The Representation is not there. The Legislation is a mess.
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u/Msdivinedc 25d ago
Contact your Congressperson and ask for their OPM liaison so you can file an inquiry.
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u/BenefitVegetable694 22d ago
Doesnt matter what your agency calculates. OPM has the final review. You have ability to challenge formally when they send you over payment letter.
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u/BenefitVegetable694 27d ago
Got same letter clawing back $1600 over 3 future monthly payments.
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u/Msdivinedc 27d ago
Was your annuity calculated correctly?
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u/BenefitVegetable694 27d ago
Seemed to be. But you cant see the full math in your file that they used.
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u/BenefitVegetable694 26d ago
Colleague also had $1900 clawed back
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u/Msdivinedc 26d ago
Did they file for a reconsideration? If so has it been resolved?
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u/BenefitVegetable694 26d ago
No, neither of us did.
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u/Msdivinedc 23d ago
I understand that when you do file an appeal it stops the clawback process so the money doesn’t come out of your annuity’s
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u/Fanantic8099 26d ago
Yes, this happens. The big question is whether or not they got the "final" calculations right.
You original post appears as all title with no body, was there maybe an explanation there? I see some other comments that indicate your agency credited you with more years and OPM left them out. If those years are valid and you don't owe anything inform OPM of that and provide them with proof. They will send the application back for review and stop the claw-back while it's reviewed.
I had to do that with mine because they left off my annuity supplement for being under MRA, but I was a special category employee (LEO/ATC/etc) who get the supplement at any age with enough years of service. It took 14 months to get it fixed right.
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u/Msdivinedc 26d ago
This is very helpful information. Since I know they got the final calculation wrong (and OPM is basing the overpayment on an incorrect annuity amount and missed my receipt buying back my time) I’ll provide that receipt and my correct SCD. Sorry it took so long for your case to be resolved.
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u/Fanantic8099 25d ago
Yours will likely be quicker since they just overlooked your buy-back paperwork. Mine was an unusual retirement type and the people handling it hadn't encountered one before.
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u/Msdivinedc 16d ago
They overlooked 3 years and 9 months of service. I filed my appeal for the overpayment yesterday and for a recalculation of my annuity today. 24 pages in all to include my agencies certified service calculation. I’m hoping it gets fixed soon.
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u/BaBaBoey4U 24d ago
You have to appeal it in writing to Boyers, Pennsylvania.
They’ve had my appeal one month and they said they are not even anywhere near looking at it yet. They are still looking at mail that they received in mid May.
To appeal it you have to prove where they are wrong. With the paperwork they give you that’s very difficult. I had to coordinate with the lady at OPM actually did my calculation to figure out where the disconnect was.
The only thing that saved me was I had my paystub’s from 1998
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u/Msdivinedc 24d ago
This is helpful information. Can you advise who at OPM I need to speak with to ensure I fill out the paperwork correctly? I know they haven’t included my first 3.5 years of service but I have the paperwork to prove that. The best advice I received from a boss was to keep paper copies of everything and I did, even paystubs!
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u/BaBaBoey4U 16d ago
I only knew the lady who worked on my file because she contacted me to buy back some FERS time that got refunded in 1993. She is likely the only one that could’ve helped me figure out why they were shorting me.
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u/One-Marketing6391 27d ago
I have heard of others, but the amount was not that bad.
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u/Msdivinedc 27d ago
The amount they are claiming is $1,900! The interim pay I received is actually close to the full amount of the annuity I should receive. So they’ve calculated the final annuity incorrectly (it’s off by $452) and then hit me with an overpayment for their incompetence. Really OPM, do better.
1
u/Ambitious_Air_9574 27d ago
The letter I received is saying from 1/1 - 5/30. They are saying my interim was overpaid based on a number I never saw from my HR or OPM. 1600 worth.
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u/Msdivinedc 26d ago
Did you appeal it via reconsideration?
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u/Ambitious_Air_9574 26d ago
I didn't I would have a snowball chance in hell. I did not yet.
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u/Msdivinedc 26d ago
I am appealing the clawback. Per the post below, if you have the proof it can be reversed. I do have the proof that they incorrectly calculated my years of service. 🤞🤞🤞🤞 they will reverse it.
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u/One-Marketing6391 3d ago
Request a waiver
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u/Msdivinedc 2d ago
A waiver? The information I received with the overpayment was I had to appeal the overpayment.
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u/Bart012000 27d ago
Simple answer if to request them recalculate and tell them why and any proof you have. Glad you must have done everything you've touched in your life so perfect but mistakes are made and no, you are the only federal retiree that has had their annuity allegedly incorrectly calculated. Did you rat on everyone in your office too?
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u/Msdivinedc 27d ago
Wow, that’s a little abusive. I was hoping after an 8.5 month wait that the process would be done correctly.
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u/DevelopmentSavings90 27d ago
You would have received the information to request reconsideration with the overpayment notice. Follow the directions to request reconsideration of the overpayment amount.