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Are you a veteran in federal service? You may be leaving money and benefits on the table. Here are five to check this Veterans Day week, from your military deposit to how your VA disability stacks with FERS.
Quick facts: 1) Military deposit: buy your active-duty time into FERS for 3% of your military basic pay. It's interest-free for 2 years after you're hired, then interest applies (4.25% for 2026), and it must be paid in full before you retire. Example: about $120K of basic pay over 4 years of active duty means a deposit of about $3,600. With a $120K High-3 and the 1% multiplier, that adds about $4,800 a year to your pension, roughly $120K over 25 years of retirement before COLAs. 2) Annual leave: non-retired veterans' military years count toward your leave rate (4 hours per pay period under 3 years, 6 hours for 3 to 15 years, 8 hours for 15+ years). Military retirees usually get credit only for war, campaign or combat-disability time. 3) Disabled Veteran Leave: 104 hours credited up front (full-time) for veterans with a 30%+ service-connected rating, to use within 12 months for treatment of that condition. 4) RIF protection: within each tenure group, 30%+ disabled veterans (AD) are kept first, other preference-eligible veterans (A) next, and non-veterans (B) are released first. Check that your SF-50 shows your preference. 5) VA disability stacks on top of FERS: it's tax-free, FERS doesn't reduce it, and you don't need to waive it to buy back military time. Military retired pay is different and usually must be waived. Health care: VA care isn't insurance and doesn't replace FEHB. You need FEHB for the 5 years before you retire to keep it, and for military retirees FEHB pays before TRICARE.
Educational only, not tax, investment, or legal advice. Haws Federal Advisors | HawsFederalAdvisors.com
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