52 here... with 25+ years of service... but I also have VA disability and health insurance, a about 900k TSP (40-60 split between Roth and traditional), 150k in brokerage and cash...house is paid for, car paid for...so VERA it is for me. I am banking on the stock market making up for no COLA until 62. It is a trade off between life, mental health and more money.
I’m VERA eligible being 52 with 29 years of service, but I would not take it. I’m making a great income, maximizing my TSP contributions including the catch-up, and will continue to increase my years of service for a better pension when I do retire. No way am I stopping now.
You may have to. The gov intends to get rid of 200,000 employees. You may not have the choice to say I’m NOT going anywhere. If not the buyout then maybe a RIF. It’s seems foreign because it is. Employees are under new management.
@@Melifter Normally, sure, that would be the case. Unfortunately, the moves of the new admin so far have been largely done with haste rather than care, taking a "hatchet rather than scalpel" approach that isn't tailored to each agency's needs or mission.
@@TomG1555 , Obama quote. Perhaps with many agencies a hatchet is needed. Like I said, we’re growing. We are still hiring and we need people. The Navy is currently in the proverbial hurt locker.
So far, it's not clear to me that VERA is automatically available to someone who retires under the deferred resignation program. Many people think that VERA is separate from deferred resignation - if you happen to be offered VERA during the deferred resignation period, you can take it, bu there's no guarantee you will be offered a VERA.
That's the boat I'm in. 31 years in the federal gov, and my agency (State Dept) won't tell me if I'll get VERA or not. I can't go by what the OPM FAQs say. FAQs are not legally binding in my non-lawyer opinion.
@@willkeyes8859 Same here. I have 27 years of service but I haven't heard anything from my agency to know if they're going to offer VERA. It's so frustrating needing to make a decision for me and my family without ANY information from the agency I've worked my entire Federal career.😡😡
I turned in my retirement application on 11/1/2024. Retired on 1/11/2025. It took 3 months for my local HR to process my application and send it to OPM. Now I am waiting for my final check and for OPM to process my retirement. You better have 6 months expenses covered with your savings account.
New information coming out every single day and yet they don’t push back the deadline to respond. It’s like they want people to make quick, uninformed decisions
This is not about helping us- this is about overwhelming and rushing us to cause pain. They expect life changing decisions with limited or poorly worded guidance they can renege on if you have to go to court.
Despite what "they" think, there are plenty of intelligent well-informed (and I'll add hard-working) federal civilians. HOLD THE LINE. While everyone's situation is indeed different...just, HOLD THE LINE.
I meet VERA age and year requirement, however. I have NOT heard any communication from my local HR, supervisor or manager here mentioning anything regarding offering VERA together with Defer Resignation, do I need to hear an offer from my local agency regarding VERA ? or is the FAQ sufficient enough even though local HR has not said or offer anything.
I'm in the same boat at the State Department. I'm getting crickets from our HR folks even though we got an email saying, "State Department has REQUESTED and OPM has INDICATED they will honor VERA.
@@ag4eng that's what I'm unsure of. we. had a gov all hands and our HR people said "we aren't doing VERA". If that's not on the table, this is a non-option for me.
Can't believe people are considering this, unless they have under 5 years in government and was leaving anyway. First, you have to type "I resign". You can put I resign and retire, but the faq says they will only look at "I resign". Second, I've read a copy of the document you have to sign later. You waive ALL of your rights - everything. This makes sense since they are maybe giving you something. Third, pres ordered a 70% drawdown of OPM staff and programs. If that happens, who will process your retirement/VERA? In other words, you might get paid by the time his four-year term is up. ha ha
“Unreduced annuity” means no penalty for retiring early. It’s still less than if you worked a couple more years. And no fers supplement. Lots of financial hits.
Annuity isn't "reduced" but it would be LESS than what it would have been if you retired at MRA of 57.. since its based on years of service. Supplement still kicks in at 57 and ending at 62.
VERA is to be authorized by agency, and I heard from my SES that it is not active in most places. She also mentioned that it’s a myth that FitR is not funded, all positions have funding for FY 2025 in the DoD at least and most other places in Gov. However, VERA is not funded and must be taken out of agency funding to pay for, unless Congress appropriates for it.
Can you clarify the rule of 55 please? I was told if you take the VERA in the year you turn 55 you are good. I have a late birthday (5 Dec). I was told I can touch the TSP penalty free even if the VERA date is 30 Sep because I turned 55 that year. - From Schwab website: If you turn 55 (or older) during the calendar year you lose or leave your job, you can begin taking distributions from your 401(k) without paying the early withdrawal penalty.
With VERA/VSIP if you have 25 years you can walk with a pension. You will still get a supplement for social security from age 55 (Did you say 57? rules may of changed, what I'm saying reflects back to 2011) to 62 . You will get no COLA's until age 62. You may want to convert the TSP to an IRA so that you can start converting to Roth (rules regarding TSP may of changed so check this out for yourself) But convert while your income is low and before Social Security and only the optimized amount for each year. You need to develop or have a Forward Looking Tax Plan to see an optimized path for conversion. Optimize the way you take Social Security. Good Video!
Missing out on COLAs is a big deal. The total of FERS COLAs for the past 5 years is a cumulative 18.1% and that doesn't account for missing out on the compounding effect. Imagine going out at age 50 and having to wait 12 years for the first COLA.
I note that the FERS supplement has been marked by GOP Republicans as a target to eliminate. Whether that happens, and whether it would be retroactive or not, is anyone's guess.
Don’t move your TSP if you are 55 or older (but less than 59.5) at time of separation. You can access it without penalty if you leave it in TSP but not if you roll it over to an IRA.
Maybe an additional clip for 6C in case they are allowed the VERA. 44 with 26 years (22 @6c). Top of GS. Would we get the FERS supplement? We are also allowed to withdraw TSP immediately with no penalty.
I have given up with my agency regarding VERA. I am VERA eligible on 1-1-26; however, the FORK email states i need to be retirement eligible in calendar year 2025. VERA guidelines that an employee can use accrued annual leave to gain title to an immediate annuity to bridge that gap essentially. Everyone is telling me no; however, i am literally looking at these rules. I have given up.
I was planning to retired in August 2027 with 31 years of service and turning 62. Getting 8 months salary plus 11 months of FERS annuity plus the suppliment vs. working and comuting for the next 19 months I would gross $9.50 per hour going into the office and working. I am taking the deal and getting an 19-month early retirement. I am taking a 16 percent hit on my long term FERS annuity, but still not worth it.
6c Retirement “special” here. I heard something about 15 years full pension??? Again not enough info HR confused trying to get us answers. Got 19 years eligible in 6. Young enough to work private sectors just don’t want to give up pension.
I am 69 yo and planned to retire end of this year. I have enough time in service to get my full FERS pension. Would he Deferred Resignation work out by letting me put in my retirement and resign at same time and will I be getting full-time pay for the several months until September? I guess I'm wondering if I can be certain that the Deferred Resignation offer is dependable/guaranteed?
I am in the same situation. I am older than 62. Other than this specific plan has not been offered before, what would make this not enforceable legally. Thank you so much
The model agreement has the employee waive all rights to dispute in any administrative or judicial forum. Therefore, they know there is no consequence to them not fulfilling their end of the agreement. It seems dangerously risky for the employee.
It’s not clear how this works. I would not mess up your normal retirement plan due to this offer, but do consider how putting in for normal retirement 6 months earlier affects you. The VERA has not come down to agency level approval, so more questions than answers.
Im 58,..36 years and was told yesterday i cannot apply to resign/retire Sept 30 during this buyout because it is beyond 6 months. I was informed yesterday the window to retire is within 6 months so my retirement will not generate.
RIF- reduction in force - they just kick us out by firing us on the basis that the workforce is being reduced for x reason. VERA - u choose to be elected for it
I do now about the 8 months. But to keep your health insurance you have to have it for the full 5 years before retirement and you have to retire to keep it, there is no provision to keep it with out retiring. You can find that info on the OPM website
At least you got a answer. My agency of 800,000 + can not get a single answer on anything. We are just handed anther copy of the letter and told to read it.
52 here... with 25+ years of service... but I also have VA disability and health insurance, a about 900k TSP (40-60 split between Roth and traditional), 150k in brokerage and cash...house is paid for, car paid for...so VERA it is for me.
I am banking on the stock market making up for no COLA until 62. It is a trade off between life, mental health and more money.
Just punch some numbers... Health insurance will continue to increase over those 10 years and you won't get any COLA... which usually offsets it.
Dang my friend, you have done yourself well. I sure wish I could of had your skills and advice along the pathway of life. All the best to you.
I’m VERA eligible being 52 with 29 years of service, but I would not take it. I’m making a great income, maximizing my TSP contributions including the catch-up, and will continue to increase my years of service for a better pension when I do retire. No way am I stopping now.
You may have to. The gov intends to get rid of 200,000 employees. You may not have the choice to say I’m NOT going anywhere. If not the buyout then maybe a RIF. It’s seems foreign because it is. Employees are under new management.
@, not with my agency. We’re growing and my job series is needed now more than ever.
@@Melifter Normally, sure, that would be the case. Unfortunately, the moves of the new admin so far have been largely done with haste rather than care, taking a "hatchet rather than scalpel" approach that isn't tailored to each agency's needs or mission.
@@TomG1555 , Obama quote. Perhaps with many agencies a hatchet is needed. Like I said, we’re growing. We are still hiring and we need people. The Navy is currently in the proverbial hurt locker.
@@Melifterkeep telling yourself that. 😂
So far, it's not clear to me that VERA is automatically available to someone who retires under the deferred resignation program. Many people think that VERA is separate from deferred resignation - if you happen to be offered VERA during the deferred resignation period, you can take it, bu there's no guarantee you will be offered a VERA.
That's the boat I'm in. 31 years in the federal gov, and my agency (State Dept) won't tell me if I'll get VERA or not. I can't go by what the OPM FAQs say. FAQs are not legally binding in my non-lawyer opinion.
@@willkeyes8859 Same here. I have 27 years of service but I haven't heard anything from my agency to know if they're going to offer VERA. It's so frustrating needing to make a decision for me and my family without ANY information from the agency I've worked my entire Federal career.😡😡
Your agency has to request it (VERA) from OPM. If you were suthorized you should have received email from HR
I turned in my retirement application on 11/1/2024. Retired on 1/11/2025. It took 3 months for my local HR to process my application and send it to OPM. Now I am waiting for my final check and for OPM to process my retirement. You better have 6 months expenses covered with your savings account.
@@Dave-sw2dm Congratulations on your retirement!!🎉🎉
VERA authorized but it seems many agencies aren’t offering it or won’t offer until they run the numbers after the Feb. 6 suspense.
This is correct
New information coming out every single day and yet they don’t push back the deadline to respond. It’s like they want people to make quick, uninformed decisions
Bingo. Instilling fear and they know the only way they get around the rules and laws is if we give them up voluntarily
This is not about helping us- this is about overwhelming and rushing us to cause pain. They expect life changing decisions with limited or poorly worded guidance they can renege on if you have to go to court.
He said Renege
Despite what "they" think, there are plenty of intelligent well-informed (and I'll add hard-working) federal civilians. HOLD THE LINE. While everyone's situation is indeed different...just, HOLD THE LINE.
I meet VERA age and year requirement, however. I have NOT heard any communication from my local HR, supervisor or manager here mentioning anything regarding offering VERA together with Defer Resignation, do I need to hear an offer from my local agency regarding VERA ? or is the FAQ sufficient enough even though local HR has not said or offer anything.
Your agency needs to request VERA. OPM director specified.
I'm in the same boat at the State Department. I'm getting crickets from our HR folks even though we got an email saying, "State Department has REQUESTED and OPM has INDICATED they will honor VERA.
Unfortunately we all know as much as our HR departments,..not much. They are still in the blind with a little over 24 hours to decide
While OPM approved VERA, agencies have not. It’s a trap, don’t do it.
@@ag4eng that's what I'm unsure of. we. had a gov all hands and our HR people said "we aren't doing VERA". If that's not on the table, this is a non-option for me.
Can't believe people are considering this, unless they have under 5 years in government and was leaving anyway. First, you have to type "I resign". You can put I resign and retire, but the faq says they will only look at "I resign". Second, I've read a copy of the document you have to sign later. You waive ALL of your rights - everything. This makes sense since they are maybe giving you something. Third, pres ordered a 70% drawdown of OPM staff and programs. If that happens, who will process your retirement/VERA? In other words, you might get paid by the time his four-year term is up. ha ha
“Unreduced annuity” means no penalty for retiring early. It’s still less than if you worked a couple more years. And no fers supplement. Lots of financial hits.
Who said you don’t get the Supplement? Every person I have talked to says you still get it. It just won’t kick in until you are 57.
Annuity isn't "reduced" but it would be LESS than what it would have been if you retired at MRA of 57.. since its based on years of service. Supplement still kicks in at 57 and ending at 62.
VERA is to be authorized by agency, and I heard from my SES that it is not active in most places. She also mentioned that it’s a myth that FitR is not funded, all positions have funding for FY 2025 in the DoD at least and most other places in Gov. However, VERA is not funded and must be taken out of agency funding to pay for, unless Congress appropriates for it.
Can you clarify the rule of 55 please? I was told if you take the VERA in the year you turn 55 you are good. I have a late birthday (5 Dec). I was told I can touch the TSP penalty free even if the VERA date is 30 Sep because I turned 55 that year. - From Schwab website: If you turn 55 (or older) during the calendar year you lose or leave your job, you can begin taking distributions from your 401(k) without paying the early withdrawal penalty.
With VERA/VSIP if you have 25 years you can walk with a pension. You will still get a supplement for social security from age 55 (Did you say 57? rules may of changed, what I'm saying reflects back to 2011) to 62 . You will get no COLA's until age 62. You may want to convert the TSP to an IRA so that you can start converting to Roth (rules regarding TSP may of changed so check this out for yourself) But convert while your income is low and before Social Security and only the optimized amount for each year. You need to develop or have a Forward Looking Tax Plan to see an optimized path for conversion. Optimize the way you take Social Security. Good Video!
@ralphparker he said 57 as shorthand for MRA, which has been gradually shifting from 55 to 57. That transition is nearly completed now.
Missing out on COLAs is a big deal. The total of FERS COLAs for the past 5 years is a cumulative 18.1% and that doesn't account for missing out on the compounding effect. Imagine going out at age 50 and having to wait 12 years for the first COLA.
I note that the FERS supplement has been marked by GOP Republicans as a target to eliminate. Whether that happens, and whether it would be retroactive or not, is anyone's guess.
Don’t move your TSP if you are 55 or older (but less than 59.5) at time of separation. You can access it without penalty if you leave it in TSP but not if you roll it over to an IRA.
@@cristinal3403also, leaving it in TSP keeps it away from civil suits.
Maybe an additional clip for 6C in case they are allowed the VERA.
44 with 26 years (22 @6c).
Top of GS.
Would we get the FERS supplement?
We are also allowed to withdraw TSP immediately with no penalty.
I am staying for health insurance. I have 16 years. I need to speak to ask my H.R if I could continue the health insurance or not. That’s it.
You get to take it with you with VERA
@ H.R said they are not offering Vera right now. 😢
I have given up with my agency regarding VERA. I am VERA eligible on 1-1-26; however, the FORK email states i need to be retirement eligible in calendar year 2025. VERA guidelines that an employee can use accrued annual leave to gain title to an immediate annuity to bridge that gap essentially. Everyone is telling me no; however, i am literally looking at these rules. I have given up.
I was planning to retired in August 2027 with 31 years of service and turning 62. Getting 8 months salary plus 11 months of FERS annuity plus the suppliment vs. working and comuting for the next 19 months I would gross $9.50 per hour going into the office and working. I am taking the deal and getting an 19-month early retirement. I am taking a 16 percent hit on my long term FERS annuity, but still not worth it.
As a Fed employee I wouldn't take VERA unless I was or about to be 57...
Can you please address how VERA would apply IRT annuity & benefits for "special provisions" (LEO, Air Traffic, Fire Fighters) -thank you!
6c Retirement “special” here. I heard something about 15 years full pension??? Again not enough info HR confused trying to get us answers. Got 19 years eligible in 6. Young enough to work private sectors just don’t want to give up pension.
I am 69 yo and planned to retire end of this year. I have enough time in service to get my full FERS pension. Would he Deferred Resignation work out by letting me put in my retirement and resign at same time and will I be getting full-time pay for the several months until September?
I guess I'm wondering if I can be certain that the Deferred Resignation offer is dependable/guaranteed?
I am in the same situation. I am older than 62. Other than this specific plan has not been offered before, what would make this not enforceable legally. Thank you so much
The model agreement has the employee waive all rights to dispute in any administrative or judicial forum. Therefore, they know there is no consequence to them not fulfilling their end of the agreement. It seems dangerously risky for the employee.
It’s not clear how this works. I would not mess up your normal retirement plan due to this offer, but do consider how putting in for normal retirement 6 months earlier affects you. The VERA has not come down to agency level approval, so more questions than answers.
I’m 53 with 35 years of service. Can’t I access my TSP using the 72(t) rule if I take the VERA?
72(t) could be an option, but there are quite specific rules to follow that can be less than ideal for most people. Thx to tuning in!
Those who just resign, don’t get to keep health insurance either. You can do cobra, but not same.
Im 58,..36 years and was told yesterday i cannot apply to resign/retire Sept 30 during this buyout because it is beyond 6 months. I was informed yesterday the window to retire is within 6 months so my retirement will not generate.
My agency won't generate the retirement application beyond the 6 window,..I was told that yesterday Feb 4th. They are still abiding by their policy.
Has anyone heard how this will affect PSLF if the 120 payments have not yet been met?
No, but Trump/Musk are not loan forgiveness friendly, so I'd plan on continuing those payments.
What would make this not legally enforceable? Is it because such a program was not offered before?
Other parts of government could intervene and sabotage it essentially.
Probably would just take some Federal Trump hating judge to issue an order halting it... until a certain time period like they always do with him.
What's the difference between VERA and a RIF?
RIF- reduction in force - they just kick us out by firing us on the basis that the workforce is being reduced for x reason. VERA - u choose to be elected for it
Can someone confirm that my current Health Insurance will cover my 8 months and is there an option to continue FHS on my own dime afterwards?
I do now about the 8 months. But to keep your health insurance you have to have it for the full 5 years before retirement and you have to retire to keep it, there is no provision to keep it with out retiring. You can find that info on the OPM website
I am literally 16 days to young to be eligible for VERA....
OPM guidance says they may extend it if it makes you eligible.
@@Ben78255 'may' may not hold up in your favor. Be careful and OK with what happens either way.
Still confused...
My agency said no to VERA.
At least you got a answer. My agency of 800,000 + can not get a single answer on anything. We are just handed anther copy of the letter and told to read it.
Trump just said he is going to make sweeping layoffs, I am so nervous!