r/fednews•
Dilbert_22192

Which cuts in benefits will affect those already retired?

I'm really struggling trying to decide whether to retire now with a 1.0% FERS annuity with today's rules or next year with a 1.1% FERS annuity and reduced benefits. Here is my analysis:

* Health benefits -- this is the big one. Will the allow current retirees to retain FEHB? or are the vouchers for everyone, including current employees? What are the odds that they'll pass everything else but not this?

* Increased FERS premium (0.8% to 4.4%), not insignificant by any means (over $200/pp) but it would be just for a year.

* High-5 vs. High-3 will reduce the annuity, but High-5 at 1.1% is still higher than High-3 at 1%.

* Eliminating the supplement is awash since next year I would not receive a supplement. I'm assuming this does NOT apply to those already retired.

https://www.fedweek.com/fedweek/budget-outline-clears-way-for-move-to-reduce-value-of-federal-workforce-benefits/

Posted Apr 15, 2025, 7:30 PM UTC

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