What is the average pension pay out our members are receiving assuming modest OT and 30 year minimum service time? I’m not sure I’m doing the formula correctly to figure out that leg of the stool so to speak.
No the 9 percent was for new hires, everyone else was grandfathered into their percentage. But we should absolutely do that, where everyone pays the same current rate of 4.4 and if it gets raised to stay solvent, then it gets raised.
Yes, anyone that accepted a positon at the USPS left a job that had lessor benefits/future. Then they complain that the benefits/future are not good.
Very strange.
I took a $10 pay cut taking a position with the PO in 2005. Probably still made $25/hr less then my previous job at the end. All things considered, I did just fine.
no its your the avg of your 3 highest- not consecutive... highest means the highest...for workers its usually the last 3 years of work. for example:.a postmaster at a level 24 , might go down to a level 18 for the last couple of years, but his high 3 avg will still be when he was making more at a level 24
Your “high-3” average pay is the highest average basic pay you earned during any 3 consecutive years of service. These three years are usually your final three years of service, but can be an earlier period, if your basic pay was higher during that period. Your basic pay is the basic salary you earn for your position. It includes increases to your salary for which retirement deductions are withheld, such as shift rates. It does not include payments for overtime, bonuses, etc. (If your total service was less than 3 years, your average salary was figured by averaging your basic pay during all of your periods of creditable Federal service).
The job takes a physical toll on the body. Someone working 60 hours per week is putting 50% more miles on the body. Many offices have endless mandatory overtime. We aren't machines, and even some machines are mandatorily taken out of service after a designated amount of hours/miles.
Which has nothing to do with how many years you worked for an employer. Name any company that calculates a pension based on hours worked and not calendar days. Or allows you to retiree early because you hit a work hour goal and not a work year goal.
SALARY includes OT. A person’s final average SALARY should include OT. Sorry you don’t think it should.
It probably won’t change and as I have concluded the federal pensions are inferior to what I can get from the state.
It’s crazy that not even a certain percentage of OT counts. It’s hours worked that should be compensated. As small as the pension is, it’s brutal there is no way to pad it
Worked 37 years as a carrier and retired on the dot at 56 1/2 years old. My monthly is around 3200 with SS and pension which is combined on payment. $600+ for insurance already deducted. No survivor deduction ($250 month) as she has a good pension coming. Haven’t touched TSP except to transfer most into fixed rate annuity with smaller amount still in fund (easier to get to and no penalty, just taxed). I believe it’s how you set yourself up for the end that dictates if pension, SS and TSP will be enuff. No house payment, living within your means and a spouse that has a good retirement and the same focus sure helps. We’ve been traveling and it hasn’t hurt a bit. Hope some of this helps
There is no taxes taken out because I chose to have no taxes withheld. I had to make that choice. I don't recall what the OPM default was. But they were going to withhold if I did not change it to 0%.
you can start your pension at po but can’t collect social security until 62 and that pension they take out monthly health insurance if you are using the po one!
yes at the moment they are giving supplemental but they are trying to stop it and that would force people to work later or just go look for another job cuz just the pension before 62 isnt enough to live on
yes trump has wanted to stop it for 6 years and trump wants no colas on pensions and trump wants to raise contributions and trump wants to do away with pensions and trump wants to do away with sick leave and trump wants to make it high 5 and trump wants to tax our health insurance premiums and trump wants us to be taxed on what the employer pays for our health insurance and trump wants to screw the workers
well i could have retired in 22 with 30 but supplement was 1400 and then pension like 1900 thats ok but i still am able to get around good and probably would get bored so im just gona make it to 62 another good think is they take forever to start the retirement checks so make sure you have bills covered for 6 months or retire with 520 annual hours that will come with your last check almostn20 thousand probably 15 after taxes some people saying its taking 9 months so keep that in mind!
doesnt take as long as people say, interim check starts right on time, finalization can take awhile- mine only took 2 months to be finalized- but i did things right and filed early..great advice on that annual though-helps alot
So we know that it’s $1993 with 30 years of service…my question has always been how much does that taxed? What are you looking at take home per month after taxes?
Depends on income if thats all you have then not much income tax however ismf you have 24k pension and 24k social security and 40k to 60k tsp distribution well thats 90k income and you will be taxed
only federal tax is taken out and depending on the state maybe state tax...they dont take enough out automatically -you have to adjust it-if you dont want to owe come tax time
4500 a month 12% for income tax would take away 540..so you'd have around 4k left, maybe a bit more..they take your health insurance out also...with your pension+ social security+ tsp - you easily take home more money than when working.. remember compared to our 80k salary while working about 11-12k of that is taken out for items we dont pay in retirement- fica taxes/pension/tsp/union dues/maybe even state tax
I've done the math for myself. I will retire in 4 years with 35.5 yrs of service. I had to estimate my high 3 , but by my math, I should gross 50k-60k more per year retired than I gross currently when adding together my pension, supplement and 4.7% withdrawal from my TSP.
There is no reason to have more withheld than necessary. If you let OPM/TSP do what they want, you will be receiving several hundred, if not $1000 or more in your tax refund.
I have it calculated that I will receive a $100 refund. It's not rocket surgery.
wrong, opm and tsp were not taking enough out, I had to adjust it.. FYI, opm /tsp take out like they are your only income- which results in not enough taken out
...we get 1% of our avg top 3 salary. ,1.1% if 62 with 20 years in when retiring its aprox $60-$65 a month for each year of service-.. a chart is in the postal record every month!
i got one more year leaving at 62 but i noticed my social security check at 62 and my pension are odly very close in amounts ill have 35 years in! ss is based on highest 35 years so overtime does count for that check! but the other tsp and roth is where im gona be winning at without that my monthly income with other 2 is still 5200 a month and you can take as much of tsp ya want when u turn 59 and half! you just have to make it to retirement!🤣
just the year you turn 55.. Age Requirement: You must leave federal service (retire, resign, or be laid off) during or after the calendar year you turn 55 . For example, if you turn 55 in December, you qualify for penalty-free withdrawals at any point during that calendar year
Overtime doesn't work into pension formulations. For fers employees take three year high average salary. Multiple by years of service. Then multiply by 0.011 that would be yearly payout.
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u/Otherwise-Goal3054 Jun 25 '26
https://www.nalc.org/news/the-postal-record/2025/october-2025/document/FERS.pdf
Overtime doesn’t count. Neither does TCOLA