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FERS Survivor Benefits Calculation at Retirement*

FERS Survivor Benefits Calculation at Retirement*

*Example using full pension of $27,600 annually

 

Standard Annuity Maximum Benefit: 10% cost providing 50% coverage

Cost: $27,600 x 10% = $2,760/yr*
Pension AUTOMATICALLY reduces to $24,840
Survivor Annuity:
50% X $27,600 = $13,800 annually

Reduced Annuity Benefit: 5% cost providing 25% coverage

Cost: $27,600 X 5% = $1,380/yr*
Pension reduces to $26,220
Survivor Annuity: 25% X $27,600 = $6,900 annually

* Remember that as your pension increases due to cost of living adjustments (COLA), the monthly costs will increase as well.