Ever wonder what happens to your FERS benefits after you're gone?
You're not alone. It's a question that keeps many federal employees up at night.
Let's break it down, no BS, just the facts you need to know.
The Basics: Your FERS Survivor Benefits
Your FERS retirement doesn't vanish when you do. But who gets it? That depends.
Here's the deal:
- If you're married, your spouse is first in line
- No spouse? Your kids might be eligible
- No kids? It could go to certain ex-spouses or named beneficiaries
But it's not that simple. Let's dig deeper.
Your Spouse: The Primary Beneficiary
If you're married, your spouse is the VIP of your FERS survivor benefits.
Here's what they could get:
- A portion of your monthly annuity (usually 50% or 25%)
- Continuation of health benefits
- A lump-sum payment of any unpaid annuity
But there's a catch. You need to elect a survivor benefit when you retire.
Skip this, and your spouse might be left high and dry.
What About the Kids?
Your kids aren't left out. They might get benefits if they're:
- Under 18
- Under 22 and full-time students
- Disabled before 18
Their benefit? Usually 10% of your basic annuity.
Ex-Spouses: It's Complicated
Divorced? Your ex might still have a claim.
They could get survivor benefits if:
- You were married for at least 9 months
- You didn't remarry before age 55
- A court order says so
It's messy, but it happens.
No Spouse, No Kids, No Ex? Enter the Insurable Interest
You can name someone with an "insurable interest" in your life.
Think:
- A sibling you support
- A business partner
- A special someone who's not your spouse
They'll get 55% of your reduced annuity. But your annuity takes a hit for this option.
The FERS Basic Employee Death Benefit
If you die while still employed, there's a special benefit:
- A lump sum payment (adjusted annually)
- Plus 50% of your final salary (or average salary if higher)
This goes to your spouse or kids if you die in service.
FAQs: The Burning Questions
Q: Can I change my survivor benefit after retirement?
A: Generally, no. Choose wisely.
Q: Does my spouse automatically get my TSP?
A: Nope. You need to designate them as a beneficiary.
Q: What if I don't elect any survivor benefit?
A: Your retirement dies with you. Harsh, but true.
The Bottom Line
Your FERS retirement can provide for your loved ones after you're gone.
But you need to plan ahead.
Don't leave it to chance. Make your elections clear.
Remember, your FERS benefits are a lifeline. Make sure they serve their purpose, even when you're not around.
Want to dive deeper? Check out our site GovRet.com to crunch the numbers.
Your move: Plan now, rest easy later.