Top 5 Mistakes Federal Employees Make with Social Security
Federal retirement and social security planning can be a bit tricky, especially when it comes to understanding how Social Security fits into your future benefits. Many federal employees make mistakes that could affect their retirement income. Here are the top five mistakes to avoid so you can make the most of your Social Security benefits. 1. Not Understanding the Impact of the FERS Offset One common mistake among federal employees is not understanding the FERS (Federal Employees Retirement System) offset. The FERS offset reduces the amount of Social Security you receive if you work for the government. If you’re part of FERS, you’ll pay into Social Security, but when it comes time to collect, your monthly benefit might be lower than it would be for someone outside the federal system. This is because FERS benefits supplement Social Security, and the offset can reduce your Social Security payments. 2. Claiming Social Security Too Early A lot of federal employees make the mistake o...