Increases on combined CSRS/FERS annuities.

CFR · 2024-01-01 · US · Title 5

(a) COLA's on combined CSRS/FERS annuities are computed by increasing the CSRS component by the percentage change and the FERS component by the amount of COLA's under § 841.703(a). (b) The initial monthly rate is computed by— (1) Applying CSRS rules to CSRS service to obtain the annual rate of the self-only annuity (as defined in § 831.603 of this chapter) based on the CSRS service; then (2) Applying FERS rules to FERS service to obtain the annual rate of annuity determined under § 842.403, § 842.405, § 842.406, or § 842.407 of this (3) Making any applicable FERS reductions for age and/or survivor benefits to the amounts computed under paragraphs (b)(1) and (b)(2) of this section; then (4) Dividing the sum of the reduced amounts computed under paragraph (b)(3) of this section by 12; then (5) Dropping any cents. (c) The initial monthly CSRS component is computed by— (1) Applying CSRS rules to CSRS service to obtain the annual rate of the self-only annuity (as defined in § 831.603 of this chapter) based on the CSRS service; then (2) Making any applicable FERS reductions for age and/or survivor benefits; then (3) Dividing the annual amount by 12; then (4) Dropping any cents. (d) The initial monthly FERS component is computed by subtracting the initial monthly CSRS component from the initial monthly rate. (e) A retiree who was covered under FERS for at least one month has a FERS component. If the amount of the FERS component as computed under paragraph (d) of this section is zero

official document · source cfr-2024 · id 5:§ 841.706