FERS Pension Calculator

Understanding Your FERS Pension

The Federal Employees Retirement System (FERS) is a three-part retirement plan for federal civilian employees hired after December 31, 1983 (and those who elected to transfer from CSRS). The three components are: the FERS basic benefit (pension), Social Security, and the Thrift Savings Plan (TSP). This calculator focuses on the FERS basic benefit — the defined-benefit pension that provides guaranteed lifetime income.

FERS was established by Public Law 99-335 (the Federal Employees' Retirement System Act of 1986) and is codified in 5 USC Chapter 84. The program is administered by the Office of Personnel Management (OPM), which publishes the authoritative FERS handbook covering eligibility, computation rules, survivor benefits, and COLAs.

The High-3 Average Salary

Your High-3 average salary is the cornerstone of your FERS pension calculation. It is the average of your highest basic pay over any three consecutive years of service. For most federal employees, this is the last three years before retirement — but it does not have to be. If you took a lower-paying position late in your career, OPM uses whichever three consecutive years produced the highest average.

Basic pay includes your General Schedule (GS) or equivalent base salary plus locality pay. It does not include overtime, bonuses, cash awards, military pay, differentials (night, Sunday, hazard), or allowances (COLA for overseas, retention). If you are under the Federal Wage System (FWS), your scheduled rate of pay is used.

For 2026, the highest GS base salary is GS-15, Step 10, at $164,301 before locality (OPM Salary Table 2026-GS). With locality pay, GS basic pay is capped by law at Executive Schedule level IV, which is $197,200 in 2026 (5 U.S.C. 5304). Senior Executive Service (SES) basic pay is capped at $228,000 (EX-II) in agencies with a certified SES appraisal system, or $209,600 (EX-III) otherwise (OPM Salary Table No. 2026-ES). These caps limit your High-3.

The FERS Pension Formula

The formula is straightforward:

FERS Basic Benefit = High-3 Average Salary × Years of Creditable Service × Multiplier

The multiplier is the critical variable. Under normal retirement rules:

• 1.0% multiplier: Applies to most retirees — anyone who retires before age 62, or who retires at age 62+ with fewer than 20 years of creditable service.
• 1.1% multiplier: Applies if you retire at age 62 or older with 20 or more years of creditable service. This represents a 10% pension boost that rewards long federal careers.

Example: A GS-14 employee with a High-3 of $120,000 and 25 years of service who retires at age 60 (20 or more years, so no age reduction) receives: $120,000 × 25 × 0.01 = $30,000/year ($2,500/month). The same employee retiring at age 62 with 25 years receives: $120,000 × 25 × 0.011 = $33,000/year ($2,750/month), an extra $250/month for life. Retiring at 57 with the same 25 years is an MRA+10 retirement: the $30,000 is reduced 5% for each year under 62, so 25%, to $22,500/year ($1,875/month), permanently (OPM).

Creditable Service

Creditable service includes all periods of civilian service where FERS deductions were withheld. It also includes:

• Military service (if a deposit is made — 3% of military basic pay for post-1956 service)
• Periods of civilian service under CSRS (with appropriate deposit or redeposit)
• Unused sick leave at retirement (converted to additional service credit — does not count toward eligibility, only computation)
• Periods covered by a FERS refund that has been redeposited

Unused sick leave credit was enhanced by the National Defense Authorization Act for FY2010: 100% of unused sick leave is now credited (previously 50% for FERS). At 2,087 hours per work year, 1,000 hours of sick leave adds approximately 5.7 months of creditable service.

The FERS Supplement (Special Retirement Supplement)

The FERS Supplement, formally called the Special Retirement Supplement (SRS), bridges the gap between your FERS pension start date and age 62, when you become eligible for Social Security. It approximates the Social Security benefit you earned specifically during your FERS-covered employment.

The supplement is available to employees who:

• Retire at their Minimum Retirement Age (MRA) with 30+ years of service
• Retire at age 60 with 20+ years of service
• Retire under the special provisions for law enforcement officers, firefighters, air traffic controllers and similar groups
• Retire early after an involuntary separation (not for cause) or a voluntary early retirement offer (VERA). The supplement only starts once they reach their MRA, not on their retirement date.

The supplement is not available to employees who retire at MRA with 10-29 years of service under the MRA+10 provision (those retirees take a reduced pension and do not receive the supplement). It is also not available to disability retirees.

The calculation is: Estimated Social Security benefit at age 62 × (years of FERS service ÷ 40). OPM performs the actual computation using Social Security Administration earnings data, but this ratio method provides a close approximation.

Important: The FERS Supplement is subject to a Social Security earnings test. If you earn more than the annual limit ($24,480 in 2026) from employment, the supplement is reduced by $1 for every $2 earned above the threshold. This is a significant consideration for retirees planning second careers.

FERS COLA Rules

FERS cost-of-living adjustments (COLAs) are less generous than CSRS COLAs. The rules are:

• CPI increase ≤ 2%: COLA equals the full CPI increase
• CPI increase 2% to 3%: COLA is 2%
• CPI increase > 3%: COLA equals CPI minus 1 percentage point

This means in high-inflation years, FERS pensions lose purchasing power. In 2022, when CPI was 8.7%, the FERS COLA was 7.7% — still substantial, but 1% less than CSRS retirees received. Over a 25-year retirement, this difference compounds significantly.

COLAs take effect each December. To receive COLAs, you must be at least age 62 (or be a disability retiree, or have retired under special law enforcement/firefighter/air traffic controller provisions). Retirees under age 62 do not receive COLAs on their FERS pension until they turn 62 — another reason the supplement is valuable as a bridge.

FERS Minimum Retirement Age (MRA) Table

Your MRA depends on your birth year:

FERS Retirement Eligibility Types

There are several paths to FERS retirement:

• Immediate, unreduced: MRA + 30 years, age 60 + 20 years, or age 62 + 5 years
• Immediate, reduced (MRA+10): MRA + 10 years — pension reduced by 5% for each year under age 62
• Deferred: Separate before MRA with 5+ years — pension begins at 62 with 5 to 19 years, at 60 with 20 to 29 years, or at your MRA with 30 years, all with no reduction (no supplement). With 10+ years you can start as early as your MRA instead, with the 5%-a-year reduction (5 U.S.C. 8413, 8415(h))
• Early (involuntary/RIF or VERA): Age 50 + 20 years or any age + 25 years — supplement starts only once you reach your MRA
• Disability: 18 months of creditable service + unable to perform duties — different formula applies

The MRA+10 reduction is permanent. A 57-year-old with 10 years retiring under MRA+10 loses 25% of their pension (5% × 5 years under 62). However, you can postpone the annuity start date to reduce or eliminate the penalty — each year you postpone reduces the penalty by 5%.

Disability Retirement Under FERS

FERS disability retirement uses a different formula than the standard computation. During the first 12 months, you receive 60% of your High-3 average salary minus 100% of any Social Security disability benefit. After the first year, you receive 40% of your High-3 minus 60% of any Social Security disability benefit. At age 62, your annuity is recomputed using the standard FERS formula with the years of disability counted as creditable service.

Survivor Benefits

FERS provides automatic survivor benefits unless your spouse consents in writing to a reduced or no survivor annuity. The full survivor benefit is 50% of your unreduced pension, which reduces your own annuity by 10%. A partial survivor benefit (25% of unreduced pension) reduces your annuity by 5%. The survivor annuity receives COLAs. There is also a lump-sum death benefit and, for employees who die in service, a Basic Employee Death Benefit (50% of final salary, or high-3 average pay if higher, plus $15,000 indexed for inflation each year).

Coordinating FERS with TSP and Social Security

Your FERS pension is one leg of a three-legged stool. To project your total federal retirement income, you need to model all three:

• FERS pension: Guaranteed lifetime income, COLA-adjusted (this calculator)
• TSP: Your defined-contribution savings — model withdrawals using the 4% rule or TSP annuity option
• Social Security: Based on your 35 highest-earning years — check ssa.gov/myaccount for your estimate

A common strategy for federal employees is to maximize TSP contributions ($24,500 in 2026, plus an $8,000 catch-up at 50+, or $11,250 at ages 60–63), take the full 5% agency match, and use the Roth TSP option for tax diversification. Your FERS pension and Social Security provide a guaranteed income floor; your TSP provides flexibility and a legacy.

Frequently Asked Questions

How is the FERS pension calculated?

FERS Basic Benefit = High-3 Average Salary × Years of Creditable Service × Multiplier. The multiplier is 1% for most retirees, or 1.1% if you retire at age 62+ with 20+ years. The High-3 is the average of your three highest consecutive years of basic pay (base + locality, excluding overtime, bonuses, and differentials).

What is the FERS 1.1% multiplier?

If you retire at age 62 or older with at least 20 years of creditable service, each year of service is multiplied by 1.1% of your High-3 (instead of the standard 1%). This is a 10% pension increase and a major incentive for career federal employees to reach both thresholds. Retiring even one day before your 62nd birthday means the 1% multiplier applies.

What is the FERS Supplement?

The FERS Special Retirement Supplement (SRS) bridges the gap between your retirement date and age 62, when Social Security begins. It approximates the SS benefit you earned during FERS service: (your estimated SS benefit at 62) × (FERS years ÷ 40). It is available to those retiring at MRA+30, age 60+20, or under involuntary/early retirement provisions. Involuntary and early retirees get it only once they reach their MRA, and MRA+10 retirees never get it. The supplement is subject to the Social Security earnings test.

How does FERS COLA work?

FERS COLAs are based on the Consumer Price Index. If CPI rises 2% or less, you get the full adjustment. If CPI rises between 2% and 3%, you get 2%. If CPI rises above 3%, you get CPI minus 1%. COLAs only apply after age 62 for most retirees. This is less generous than the CSRS full-CPI COLA, and the difference compounds over a long retirement.

Can I retire before my MRA?

Generally, no — unless you qualify for disability retirement (18 months of service + inability to perform job duties) or special category retirement (law enforcement, firefighters, air traffic controllers). If you separate before MRA with 5+ years of service, you can receive a deferred annuity starting at 62 (at 60 with 20 years, or at your MRA with 30 years), but with no supplement and no COLA until 62. If involuntarily separated, you may qualify for early retirement at age 50 with 20 years or any age with 25 years.