Shows & Panels
- The 2014 Big Picture on Cyber Security
- AFCEA Answers
- Ask the CIO
- Building the Hybrid Cloud
- Connected Government: How to Build and Procure Network Services for the Future
- Continuing Diagnostics and Mitigation: Discussion of Progress and Next Steps
- Federal Executive Forum
- Federal Tech Talk
- The Future of Government Data Centers
- The Future of IT: How CIOs Can Enable the Service-Oriented Enterprise
- The Intersection: Where Technology Meets Transformation
- Maximizing ROI Through Data Center Consolidation
- Mitigating Insider Threats in Virtual & Cloud Environments
- Modern Mission Critical Series
- Moving to the Cloud. What's the best approach for me
- Navigating Tough Choices in Government Cloud Computing
- The New Generation of Database
- Satellite Communications: Acquiring SATCOM in Tight Times
- Targeting Advanced Threats: Proven Methods from Detection through Remediation
- Transformative Technology: Desktop Virtualization in Government
- The Truth About IT Opex and Software Defined Networking
- Value of Health IT
- Air Traffic Management Transformation Report
- Cloud First Report
- General Dynamics IT Enterprise Center
- Gov Cloud Minute
- Government in Technology Series
- Homeland Security Cybersecurity Market Report
- National Cybersecurity Awareness Month
- Technology Insights
- The Cyber Security Report
- The Next Generation Cyber Security Experts
Shows & Panels
Year-end retirees miss COLA boat
Monday - 11/18/2013, 2:00am EST
The ship has sailed. Without you!
You can retire, of course. But the first COLA you are likely to taste won't be until January 2015.
Retirees (federal, military and Social Security) are due the COLA in January. Federal workers are due a 1 percent pay raise, their first in three years. Given what's been happening over the past several years, many long-time, long-battered feds are wondering if it is worth carrying on.
In addition to the pay freeze (first proposed by the White House, then extended a year by House Republicans), feds have been furloughed this year because of sequestration. Later about half the employees were told they weren't needed (and wouldn't get paid) because of the government shutdown. Congress eventually had second thoughts and insisted that the workers get paid. But, for many, the financial and psychic damage was done.
As a result of the past few years, many feds, who are eligible to retire, have got to be wondering if the daily commute — not to mention what happens when they get to work — is worth it.
For many, the obvious answer is yes. It's been nice to have a good, safe job during this historic and extended recession. Having a paycheck and a guaranteed pension and health insurance is nice when tens of thousands of people were being laid off; when good paying jobs were leaving the country and private and local government workers were forced to take pay cuts.
The issue of when to pull the plug is tougher for some. Especially those with enough time and birthdays to qualify for retirement. For them, the stay-or-go question gets tougher each year.
The dreaded retirement tsunami (predicted since the late 1990s) still hasn't happened. The en masse brain drain hasn't taken place. Yet. But it will someday as hundreds, maybe thousands, become eligible to retire each week.
Meantime, a number of federal workers have contacted us to say the decision to pull the plug is a no-brainer. While they are likely to get a 1 percent pay raise next year, their retired colleagues will be getting a 1.5 percent cost-of-living adjustment. A no brainer. Retire and get more.
The problem is timing. If you plan to retire now so you can get the COLA it is too late. COLAs are pro-rated. Annuitants get one-twelfth of the due COLA for each month they were retired before Dec. 1 of the previous year. So, to get the full 1.5 percent COLA you would have had to have been retired by December 2012.
If you are a long-service employee and you can't take it anymore, leave if you must. But don't retire thinking you will get the 2014 COLA.
NEARLY USELESS FACTOID
Compiled by Jack Moore
There are 58 versions of the Little Red Riding Hood story. And at least one of them pre-dates the Brothers Grimm version by 1,000 years.
(Source: Smithsonian Magazine)
MORE FROM FEDERAL NEWS RADIO
Congress could wring $300B in deficit savings from federal pay, pension
A new Congressional Budget Office analysis of proposed deficit-reduction efforts contained half a dozen proposals affecting federal employees, including reducing annual pay raises, requiring federal employees to contribute more toward their pensions and reducing the size of the federal workforce through attrition. All told, such proposals would reduce federal outlays or increase revenues by $308 billion, according to CBO estimates.
Senate proposal lops off FERS
pensions for new hires
A new bill introduced by a trio of Republican senators would end the defined benefit portion of FERS coverage for new federal employees hired within six months of the bill's passage. Sponsors of the bill say the Public-Private Employee Retirement Parity Act would align federal retirement benefits more closely with those earned in the private sector.