The Veterans Pension program provides monthly payments to wartime Veterans who meet certain age or disability requirements, and who have income and net worth within certain limits. Find out if you’re eligible for this benefit.
Are you wishing you could retire from the government? I’ve done a lot of research on federal retirement systems, and I can tell you that it’s really hard to figure out how many years you need to work before you can get your full pension.
It is very important for your financial planning to know exactly what you need to do to get full retirement benefits, whether you are just starting your federal career or are almost done.
I’ll explain everything you need to know about service requirements for federal retirement systems in this detailed guide. There won’t be any fancy language, just clear information to help you make plans for the future.
Understanding Federal Retirement Systems
The federal government operates two main retirement systems for its civilian employees
Civil Service Retirement System (CSRS)
This is the older system that covers most federal employees hired before January 1, 1984. If you’re under CSRS:
- You generally don’t pay Social Security taxes
- You typically don’t receive Social Security benefits unless you qualify through other employment
- It offers a defined benefit pension plan
Federal Employees Retirement System (FERS)
This system covers federal employees hired after December 31, 1983. FERS is a three-tiered program that includes:
- A basic benefit plan (pension)
- Social Security benefits
- Thrift Savings Plan (TSP) with government matching contributions
The distinctions between these systems are important because they affect your retirement eligibility and benefit structure.
Service Requirements for Full FERS Retirement
Let’s look at exactly how many years of service you need for a full pension under FERS:
Minimum Retirement Age (MRA)
Your MRA depends on when you were born:
| If you were born | Your MRA is |
|---|---|
| Before 1948 | 55 |
| In 1948 | 55 and 2 months |
| In 1949 | 55 and 4 months |
| In 1950 | 55 and 6 months |
| In 1951 | 55 and 8 months |
| In 1952 | 55 and 10 months |
| In 1953-1964 | 56 |
| In 1965 | 56 and 2 months |
| In 1966 | 56 and 4 months |
| In 1967 | 56 and 6 months |
| In 1968 | 56 and 8 months |
| In 1969 | 56 and 10 months |
| In 1970 and after | 57 |
Full Retirement Combinations (Immediate Retirement)
For an unreduced immediate retirement benefit under FERS, you need to meet one of these age and service combinations:
- Age 62 with at least 5 years of service
- Age 60 with at least 20 years of service
- MRA with at least 30 years of service
These combinations allow you to receive your full pension without any reduction in benefits.
The “MRA+10” Option (Reduced Benefits)
If you retire at your MRA with at least 10 years of service but less than 30 years, you can still receive retirement benefits, but they’ll be reduced by 5% for each year you are under age 62.
For example, if your MRA is 57 and you retire then with 15 years of service, your benefit would be reduced by about 25% (5% × 5 years under age 62).
There’s an exception: If you have 20 years of service and your benefit starts when you reach age 60 or later, there’s no reduction.
Service Requirements for Full CSRS Retirement
If you’re under the older CSRS system, here are your full retirement options:
- Age 55 with 30 years of service
- Age 60 with 20 years of service
- Age 62 with 5 years of service
CSRS employees typically need to have served in a CSRS-covered position for at least one of the last two years before retirement.
Special Cases and Other Retirement Options
Early Retirement
Early retirement is available in certain involuntary separation cases (like major reorganizations or reductions in force). To be eligible, you must meet one of these requirements:
- Age 50 with 20 years of service
- Any age with 25 years of service
Deferred Retirement
If you leave federal service before meeting the age and service requirements for immediate retirement, you may be eligible for deferred retirement benefits if you’ve completed at least 5 years of creditable civilian service.
You can receive benefits when you reach:
- Age 62 with 5 years of service
- MRA with 30 years of service
- MRA with 10 years of service (with the same reduction as mentioned earlier)
Disability Retirement
If you become disabled during federal service, you may qualify for disability retirement at:
- Any age with 18 months of service
Special requirements apply – your disability must:
- Have occurred while employed in a FERS-covered position
- Be due to disease or injury
- Make you unable to perform useful and efficient service in your current position
- Be expected to last at least one year
Calculating Creditable Service
When figuring out your “years of federal service” for retirement, several types of employment can count:
- Federal civilian service during which retirement deductions were withheld
- Military service (if it was active, honorable, and performed before separation from civilian service)
- Temporary or intermittent federal service before 1989 (if a deposit is paid)
For military service performed after January 1, 1957, you’ll need to make a “military buyback” deposit:
- 3% of base military pay for FERS employees
- 7% for CSRS employees
Pro tip: If you make this deposit within three years of federal employment, interest charges may be waived!
Social Security Benefits and Federal Retirement
Since FERS includes Social Security as part of its three-tier system, it’s important to understand how Social Security retirement works alongside your federal pension.
To qualify for Social Security retirement benefits, you need 40 credits (about 10 years of work). Your benefit amount depends on your earnings throughout your working career and the age at which you claim benefits.
The full retirement age for Social Security varies based on birth year:
- For those born 1943-1954: age 66
- For those born 1955-1959: between 66 and 67 (increasing by 2 months per year)
- For those born 1960 or later: age 67
Good News About the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO)
Starting in January 2024, thanks to the Social Security Fairness Act of 2023, if you receive a pension from work where you didn’t pay Social Security taxes, your pension won’t reduce your Social Security benefits or your spouse’s benefits.
December 2023 was the last month that the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) could reduce benefits. This is a huge win for federal retirees!
Planning Your Federal Retirement
Here are some practical steps to take as you plan for federal retirement:
- Verify your service history – Ensure all periods of service are properly documented
- Check your retirement system – Confirm whether you’re under CSRS or FERS
- Calculate your creditable service – Include all eligible periods of employment
- Consider military buyback – If applicable, determine if buying back military time is beneficial
- Estimate your benefit – Use the Federal Ballpark Estimator on OPM.gov
- Plan for Medicare – Apply 3 months before your 65th birthday, even if you haven’t retired
Final Thoughts
Getting a full federal pension requires understanding your specific retirement system and meeting the right combination of age and years of service. While the standard for a full pension is typically 30 years of service at your MRA under FERS, there are multiple paths to retirement depending on your situation.
Remember that your federal pension is just one part of your retirement income. For a comfortable retirement, financial advisers suggest you’ll need about 80% of your pre-retirement income, which should include your pension, Social Security benefits (for FERS employees), and personal savings like your TSP.
Got questions? Drop ’em in the comments and I’ll try to help you navigate the sometimes confusing world of federal retirement!
Am I eligible for Veterans Pension benefits?
You may be eligible for the Veterans Pension program if you meet these requirements.
Both of these must be true:
- You didn’t receive a dishonorable discharge, and
- Congress has set limits on how much your family can earn and how much money they can have. Your net worth is the sum of all the things you own (besides your home, car, and most of your furniture), minus the amount of money you owe. Your net worth includes the net worth of your spouse. Find out about Veterans Pension rates.
And at least one of these must be true about your service:
- You joined the military before September 8, 1980, and were on active duty for at least 90 days, including at least one day of wartime service; or
- As an enlisted person, you began active duty after September 7, 1980, and served at least 24 months, or the full time you were called or ordered to active duty (with some exceptions), plus at least one day during wartime; or
- You were an officer who went on active duty after October 16, 1981, and you hadn’t been on active duty in at least 24 months.
And at least one of these must be true:
- You’re at least 65 years old, or
- You have a permanent and total disability, or
- You need long-term care in a nursing home because of a disability, or
- You’re getting Social Security Disability Insurance or Supplemental Security Income
How do I know if I served under an eligible wartime period?
Under current law, we recognize the following wartime periods to decide eligibility for VA pension benefits:
- Period along the Mexican Border (May 9, 1916, to April 5, 1917, for veterans who served in Mexico, on its borders, or in waters close by)
- World War I (April 6, 1917, to November 11, 1918)
- World War II (December 7, 1941, to December 31, 1946)
- Korean conflict (June 27, 1950, to January 31, 1955)
- vets who served in the Republic of Vietnam during the Vietnam War (November 1, 1955, to May 7, 1975)
- time of the Vietnam War for veterans who served outside of Vietnam (August 5, 1964, to May 7, 1975)
- Beginning on August 2, 1990, and ending at a date set by law or presidential proclamation, the Gulf War
A Government Pension – What You Should Know
FAQ
How many full years do you need to get a full pension?
You usually need 35 qualifying years of National Insurance contributions to get the full amount. You’ll still get something if you have at least 10 qualifying years – these can be before or after April 2016.
What are the minimum years of service to get pension?
Pension. The minimum eligibility period for receipt of pension is 10 years. If a Central Government worker retires according to the Pension Rules, they are eligible for a pension after at least 10 years of service.
At what age do you get 100% of your Social Security?
When you reach your full retirement age, which is 67 for people born in 1966 or later, you get 100% of your Social Security benefits and nothing else. The full retirement age varies based on your birth year, falling between 66 and 67 years old.
How many years do you have to work at the IRS to get a pension?
To be eligible for a FERS Federal Pension, you must have worked for the Federal Government for at least five years. For every year you work, you will be eligible for at least one percent of your high-three-year average salary history.