5 U.S.C. § 8411 — Creditable service
submitted 40 years ago by Pub. L. 99-335 to r/title-5-GOVERNMENT-ORGANIZATION-AND-EMPLOYEES · 2,909 words · no verdicts yet
This section explains what service counts toward an annuity under this chapter. It covers civilian service, military service, certain leave, special service categories, and rules that limit or condition credit.
(a) Service* is counted in full years and twelfth-parts of years. Any leftover fraction of a month is not counted. A break in service longer than 3 calendar days does not receive credit.
(b) Creditable service includes: (1) employment as an employee* and service as a Member after December 31, 1986, including the time from the start of the elected or appointed term until the Member takes office*; (2) service for which deductions and withholdings were made under section 204(a)(1) of the Federal Employees’ Retirement Contribution Temporary Adjustment Act of 1983, subject to subsection (f); (3) civilian service before January 1, 1989, other than service under (1) or (2), that would have counted under subchapter III of chapter 83 but for the listed 1986 amendments, without applying that subchapter’s deposit, redeposit, coverage, or written-notice requirements, subject to subsections (f) and (h); (4) qualifying service under the Foreign Service Pension System*, except other service under this subsection and military service*, if the employee or Member gives up credit under that system and pays the Fund* what would have been deducted under section 8422(a), plus interest calculated under section 8334(e)(2) and (3); (5) qualifying service under the “Bank Plan,” except other service under this subsection, military service, and Federal Reserve Bank employment, if the employee gives up credit under that plan and makes the same kind of payment and interest payment, but this paragraph does not apply when subsection (g), or section 8332(n) for service involving chapter 83, applies; and (6) otherwise uncreditable service as an employee paid from nonappropriated funds of a Department of Defense or Coast Guard instrumentality described in section 2105(c), if the individual elects credit under Office regulations.
(c)(1) Subject to paragraphs (2), (3), and (5), credit is allowed for (A) each period of military service before January 1, 1957; and (B) each period after December 31, 1956, and before the separation that gives the right to the annuity, if the employee or Member makes the deposit, including interest if any, required by section 8422(e). (2) Military service for which the employee or Member receives retired pay does not count unless that pay is based on (A) a service-connected disability incurred in combat with an enemy of the United States, or caused by an instrumentality of war and incurred in the line of duty during a period of war as defined by section 1101 of title 38; or (B) service under chapter 1223 of title 10, or former chapter 67 of title 10 before the Reserve Officer Personnel Management Act took effect. (3) A person who made a deposit under section 8334(j), or a similar earlier law, and did not receive a refund gets credit without the deposit otherwise required by paragraph (1)(B). On application to the Office, that person must receive a refund equal to the earlier deposit excluding interest minus the amount that paragraph (1)(B) would otherwise require. (4)(A) For a survivor* annuity, if the employee or Member received retired pay based on military service and died before separation, the deceased person’s creditable service includes each period allowed under paragraph (1)(A), (1)(B), or paragraph (3). A deposit under section 8422(e)(5) is counted. (B) The survivor annuity is reduced by survivor benefits payable to a survivor other than a child under a retirement system for uniformed-service members, to the extent those benefits are based on that military service. (C) The Office of Personnel Management must issue regulations, including rules allowing a survivor to opt out and rules for cases involving a former spouse*. (5) If, after January 1, 1997, a person gives up retired pay covered by a court* order properly served on the Secretary under section 1408 of title 10, the underlying military service counts only if the person authorizes the Director* to withhold from the annuity the amount that would have been withheld from that retired pay and paid to the former spouse. The withheld amount must be paid to the former spouse. Civil-service employment is not used to calculate that withholding or payment. The Director must issue regulations.
(d) Credit is allowed for unpaid leave granted while an employee performs military service or receives benefits under subchapter I of chapter 81. A returning employee or former employee is treated as being on such leave for the part of a separation during which the person received those benefits. Other unpaid leave counts only up to 6 months total in a calendar year.
(e) Approved unpaid leave to work full time as an officer or employee of an organization made up mainly of employees counts if, within 60 days after the leave begins, the employee arranges through the employing agency to pay the retirement deductions and agency contributions that would apply under sections 8422(a) and 8423(a) if the employee were being paid. If the election and all payments are not made, the leave does not count, despite subsection (d).
(f)(1) A person who received a refund of chapter 83 retirement deductions for service described in (b)(2) or (b)(3) gets credit only after depositing 1.3 percent of basic pay* for that service, with interest. This is allowed only for a refund based on an application filed with the Office before the person first became subject to this chapter. (2) Service described in (b)(3) for which chapter 83 deductions were not made counts only after the same 1.3-percent deposit with interest. (3) Interest is calculated under section 8334(e)(2) and (3) and Office regulations. (4) For survivor annuities, the survivor may also make these deposits.
(g) An employee who was excluded from this subchapter because of coverage under a retirement system established under section 10 of the Federal Reserve Act, then transferred without a break to a presidentially appointed position requiring Senate confirmation and covered by this subchapter, is treated as though service creditable under the Federal Reserve system had been performed under this subchapter if the employee and employer deductions, contributions, or rights are transferred to the Fund.
(h) Volunteer or volunteer-leader service under the listed Economic Opportunity Act, Domestic Volunteer Service Act, or Peace Corps Act programs counts if performed before the separation supporting the annuity and the employee or Member makes the deposit, with interest if any, required by section 8422(f).
(i) For subsection (b)(5), “Bank Plan” means the benefit structure in which Board* of Governors of the Federal Reserve System employees appointed on or after January 1, 1984, participate. It is part of the Retirement Plan for Employees of the Federal Reserve System established under section 10 of the Federal Reserve Act, including a redesignated or successor structure if the Board identifies it in writing for this chapter.
(i)(1) An individual who was an employee when this paragraph was enacted and who then had, or later acquired, at least 5 years of creditable civilian service under this section, excluding service credited under this subsection, may apply to the Office and receive congressional-employee credit for service before December 31, 1990, with the listed four congressional campaign committees. The employee must have at least 4 years and 6 months of committee service as of December 31, 1990, and must deposit 1.3 percent of the base pay for that service, with interest. (2) The Office must accept certification from the President of the Senate or designee, or the Speaker of the House or designee, about the service and compensation. (3) This credit is unavailable if the individual qualifies for credit for the same service under section 8332(m).
(k)(1) The Office must accept certification by the head of a United States nonappropriated-fund instrumentality about service of the type described in (b)(6) performed for that instrumentality. (2) Service credited under (b)(6) cannot also be credited under another retirement system for employees paid from nonappropriated funds.
(l)(1) Despite other provisions of this chapter, service rendered as a Member by an individual finally convicted of an offense described in paragraph (2) is not counted. The individual, or another person determined under section 8424(d) when applicable, is entitled to the part of the lump-sum credit* attributable to that service. (2) The offense must be one described in section 8332(o)(2)(B), and every act or omission needed for the offense must occur while the individual is a Member, President, Vice President, or elected State or local official; must directly relate to official duties in that role; and must occur after this subsection was enacted. (3) After final conviction, the individual cannot participate in this retirement system while serving as a Member. (4) The Office must issue regulations. They must limit interest on the lump-sum payment in a way similar to section 8316(b), and may allow payments to the spouse or children of the convicted person, subject to paragraph (5), with an adjustment to the lump-sum payment. (5) Such regulations must ensure that payment authority is used only when necessary and appropriate after considering all circumstances, including the spouse’s or children’s financial needs, whether they participated in the offense, and steps needed to ensure the convicted person does not benefit. (6) “Finally convicted” and “final conviction” mean a conviction no longer appealable because the appeal time expired, or a conviction for which the appeals process is complete. “Member” has the meaning in section 2106 despite section 8401(20). “Child” has the meaning in section 8441.
The supplied text labels two separate provisions as subsection (i); both are retained here with their labels. The stray digits in the supplied text are ignored.
The total service* of an employee* or Member is the full years and twelfth parts thereof, excluding from the aggregate the fractional part of a month, if any.
Credit may not be allowed for a period of separation from the service in excess of 3 calendar days.
For the purpose of this chapter, creditable service of an employee or Member includes—
employment as an employee, and any service as a Member (including the period from the date of the beginning of the term for which elected or appointed to the date of taking office* as a Member), after December 31, 1986;
except as provided in subsection (f), service with respect to which deductions and withholdings under section 204(a)(1) of the Federal Employees’ Retirement Contribution Temporary Adjustment Act of 1983 have been made;
except as provided in subsection (f) or (h), any civilian service (performed before January 1, 1989, other than any service under paragraph (1) or (2)) which, but for the amendments made by subsections (a)(4) and (b) of section 202 of the Federal Employees’ Retirement System* Act of 1986, would be creditable under subchapter III of chapter 83 of this title (determined without regard to any deposit or redeposit requirement under such subchapter, any requirement that the individual become subject to such subchapter after performing the service involved, or any requirement that the individual give notice in writing to the official by whom such individual is paid of such individual’s desire to become subject to such subchapter);
a period of service (other than any service under any other paragraph of this subsection and other than any military service*) that was creditable under the Foreign Service Pension System described in subchapter II of chapter 8 1 of the Foreign Service Act of 1980, if the employee or Member waives credit for such service under the Foreign Service Pension System and makes a payment to the Fund* equal to the amount that would have been deducted from pay under section 8422(a) had the employee been subject to this chapter during such period of service (together with interest on such amount computed under paragraphs (2) and (3) of section 8334(e));
a period of service (other than any service under any other paragraph of this subsection, any military service, and any service performed in the employ of a Federal Reserve Bank) that was creditable under the Bank Plan (as defined in subsection (i)), if the employee waives credit for such service under the Bank Plan and makes a payment to the Fund equal to the amount that would have been deducted from pay under section 8422(a) had the employee been subject to this chapter during such period of service (together with interest on such amount computed under paragraphs (2) and (3) of section 8334(e)); and
service performed by any individual as an employee paid from nonappropriated funds of an instrumentality of the Department of Defense or the Coast Guard described in section 2105(c) that is not otherwise creditable, if the individual elects (in accordance with regulations prescribed by the Office) to have such service credited under this paragraph.
Paragraph (5) shall not apply in the case of any employee as to whom subsection (g) (or, to the extent subchapter III of chapter 83 is involved, section 8332(n)) otherwise applies.
Except as provided in paragraphs (2), (3), and (5), an employee or Member shall be allowed credit for—
each period of military service performed before January 1, 1957; and
each period of military service performed after December 31, 1956, and before the separation on which title to annuity is based, if a deposit (including interest, if any) is made with respect to such period in accordance with section 8422(e).
If an employee or Member is awarded retired pay based on any period of military service, the service of the employee or Member may not include credit for such period of military service unless the retired pay is awarded—
based on a service-connected disability—
incurred in combat with an enemy of the United States; or
caused by an instrumentality of war and incurred in line of duty during a period of war as defined by section 1101 of title 38; or
under chapter 1223 of title 10 (or under chapter 67 of that title as in effect before the effective date of the Reserve Officer Personnel Management Act).
An employee or Member who has made a deposit under section 8334(j) (or a similar prior provision of law) with respect to a period of military service, and who has not taken a refund of such deposit—
shall be allowed credit for such service without regard to the deposit requirement under paragraph (1)(B); and
shall be entitled, upon filing appropriate application therefor with the Office, to a refund equal to the difference between—
the amount deposited with respect to such period under such section 8334(j) (or prior provision), excluding interest; and
the amount which would otherwise have been required with respect to such period under paragraph (1)(B).
Notwithstanding paragraph (2), for purposes of computing a survivor* annuity for a survivor of an employee or Member—
who was awarded retired pay based on any period of military service, and
whose death occurs before separation from the service,
creditable service of the deceased employee or Member shall include each period of military service includable under subparagraph (A) or (B) of paragraph (1) or under paragraph (3). In carrying out this subparagraph, any amount deposited under section 8422(e)(5) shall be taken into account*.
A survivor annuity computed based on an amount which, under authority of subparagraph (A), takes into consideration any period of military service shall be reduced by the amount of any survivor’s benefits—
payable to a survivor (other than a child) under a retirement system for members of the uniformed services;
if, or to the extent that, such benefits are based on such period of military service.
The Office of Personnel Management shall prescribe regulations to carry out this paragraph, including regulations under which—
a survivor may elect not to be covered by this paragraph; and
this paragraph shall be carried out in any case which involves a former spouse*.
If, after January 1, 1997, an employee or Member waives retired pay that is subject to a court* order for which there has been effective service on the Secretary concerned for purposes of section 1408 of title 10, the military service on which the retired pay is based may be credited as service for purposes of this chapter only if the employee or Member authorizes the Director* to deduct and withhold from the annuity payable to the employee or Member under this subchapter an amount equal to the amount that, if the annuity payment was instead a payment of the employee’s or Member’s retired pay, would have been deducted and withheld and paid to the former spouse covered by the court order under such section 1408. The amount deducted and withheld under this paragraph shall be paid to that former spouse. The period of civil service employment by the employee or Member shall not be taken into consideration in determining the amount of the deductions and withholding or the amount of the payment to the former spouse. The Director of the Office of Personnel Management shall prescribe regulations to carry out this paragraph.
Credit under this chapter shall be allowed for leaves of absence without pay granted an employee while performing military service, or while receiving benefits under subchapter I of chapter 81. An employee or former employee who returns to duty after a period of separation is deemed, for the purpose of this subsection, to have been on leave of absence without pay for that part of the period in which that individual was receiving benefits under subchapter I of chapter 81. Credit may not be allowed for so much of other leaves of absence without pay as exceeds 6 months in the aggregate in a calendar year.
Credit shall be allowed for periods of approved leave without pay granted an employee to serve as a full-time officer or employee of an organization composed primarily of employees (as defined by section 8331(1) or 8401(11)), subject to the employee arranging to pay, through the employee’s employing agency, within 60 days after commencement of such leave without pay, amounts equal to the retirement deductions and agency contributions which would be applicable under sections 8422(a) and 8423(a), respectively, if the employee were in pay status. If the election and all payments provided by this subsection are not made, the employee may not receive credit for the periods of leave without pay, notwithstanding the third sentence of subsection (d).
An employee or Member who has received a refund of retirement deductions under subchapter III of chapter 83 with respect to any service described in subsection (b)(2) or (b)(3) may not be allowed credit for such service under this chapter unless such employee or Member deposits an amount equal to 1.3 percent of basic pay* for such service, with interest. A deposit under this paragraph may be made only with respect to a refund received pursuant to an application filed with the Office before the date on which the employee or Member first becomes subject to this chapter.
An employee or Member may not be allowed credit under this chapter for any service described in subsection (b)(3) for which retirement deductions under subchapter III of chapter 83 have not been made, unless such employee or Member deposits an amount equal to 1.3 percent of basic pay for such service, with interest.
Interest under paragraph (1) or (2) shall be computed in accordance with paragraphs (2) and (3) of section 8334(e) and regulations prescribed by the Office.
For the purpose of survivor annuities, deposits authorized by the preceding provisions of this subsection may also be made by a survivor of an employee or Member.
Any employee who—
served in a position in which the employee was excluded from coverage under this subchapter because the employee was covered under a retirement system established under section 10 of the Federal Reserve Act; and
transferred without a break in service to a position to which the employee was appointed by the President, with the advice and consent of the Senate, and in which position the employee is subject to this subchapter,
shall be treated for all purposes of this subchapter as if any service that would have been creditable under the retirement system established under section 10 of the Federal Reserve Act was service performed while subject to this subchapter if any employee and employer deductions, contributions or rights with respect to the employee’s service are transferred from such retirement system to the Fund.
An employee or Member shall be allowed credit for service as a volunteer or volunteer leader under part A of title VIII of the Economic Opportunity Act of 1964, as a full-time volunteer enrolled in a program of at least 1 year’s duration under part A, B,1 or C of title I of the Domestic Volunteer Service Act of 1973, or as a volunteer or volunteer leader under the Peace Corps Act performed at any time prior to the separation on which the entitlement to any annuity under this subchapter is based if the employee or Member has made a deposit with interest, if any, with respect to such service under section 8422(f).
2 For purposes of subsection (b)(5), the term “Bank Plan” means the benefit structure in which employees of the Board* of Governors of the Federal Reserve System appointed on or after January 1, 1984, participate, which benefit structure is a component of the Retirement Plan for Employees of the Federal Reserve System, established under section 10 of the Federal Reserve Act (and any redesignated or successor version of such benefit structure, if so identified in writing by the Board of Governors of the Federal Reserve System for purposes of this chapter).
2 Upon application to the Office of Personnel Management, any individual who was an employee on the date of enactment of this paragraph, and who has on such date or thereafter acquired 5 years or more of creditable civilian service under this section (exclusive of service for which credit is allowed under this subsection) shall be allowed credit (as service as a congressional employee) for service before December 31, 1990, while employed by the Democratic Senatorial Campaign Committee, the Republican Senatorial Campaign Committee, the Democratic National Congressional Committee, or the Republican National Congressional Committee, if—
such employee has at least 4 years and 6 months of service on such committees as of December 31, 1990; and
such employee deposits to the Fund an amount equal to 1.3 percent of the base pay for such service, with interest.
The Office shall accept the certification of the President of the Senate (or the President’s designee) or the Speaker of the House of Representatives (or the Speaker’s designee), as the case may be, concerning the service of, and the amount of compensation received by, an employee with respect to whom credit is to be sought under this subsection.
An individual shall not be granted credit for such service under this subsection if eligible for credit under section 8332(m) for such service.
3 The Office of Personnel Management shall accept, for the purposes of this chapter, the certification of the head of a nonappropriated fund instrumentality of the United States concerning service of the type described in subsection (b)(6) that was performed for such nonappropriated fund instrumentality.
Service credited under subsection (b)(6) may not also be credited under any other retirement system provided for employees paid from nonappropriated funds of a nonappropriated fund instrumentality.
Notwithstanding any other provision of this chapter, the service of an individual finally convicted of an offense described in paragraph (2) shall not be taken into account for purposes of this chapter, except that this sentence applies only to service rendered as a Member (irrespective of when rendered). Any such individual (or other person determined under section 8424(d), if applicable) shall be entitled to be paid so much of such individual’s lump-sum credit* as is attributable to service to which the preceding sentence applies.
An offense described in this paragraph is any offense described in section 8332(o)(2)(B) for which the following apply:
Every act or omission of the individual (referred to in paragraph (1)) that is needed to satisfy the elements of the offense occurs while the individual is a Member, the President, the Vice President, or an elected official of a State or local government*.
Every act or omission of the individual that is needed to satisfy the elements of the offense directly relates to the performance of the individual’s official duties as a Member, the President, the Vice President, or an elected official of a State or local government.
The offense is committed after the date of enactment of this subsection.
An individual convicted of an offense described in paragraph (2) shall not, after the date of the final conviction, be eligible to participate in the retirement system under this chapter while serving as a Member.
The Office of Personnel Management shall prescribe any regulations necessary to carry out this subsection. Such regulations shall include—
provisions under which interest on any lump-sum payment under the second sentence of paragraph (1) shall be limited in a manner similar to that specified in the last sentence of section 8316(b); and
provisions under which the Office may provide for—
the payment, to the spouse or children of any individual referred to in the first sentence of paragraph (1), of any amounts which (but for this clause) would otherwise have been nonpayable by reason of such first sentence, subject to paragraph (5); and
an appropriate adjustment in the amount of any lump-sum payment under the second sentence of paragraph (1) to reflect the application of clause (i).
Regulations to carry out clause (i) of paragraph (4)(B) shall include provisions to ensure that the authority to make any payment under such clause to the spouse or children of an individual shall be available only to the extent that the application of such clause is considered necessary and appropriate taking into account the totality of the circumstances, including the financial needs of the spouse or children, whether the spouse or children participated in an offense described in paragraph (2) of which such individual was finally convicted, and what measures, if any, may be necessary to ensure that the convicted individual does not benefit from any such payment.
For purposes of this subsection—
the terms “finally convicted” and “final conviction” refer to a conviction (i) which has not been appealed and is no longer appealable because the time for taking an appeal has expired, or (ii) which has been appealed and the appeals process for which is completed;
the term “Member” has the meaning given such term by section 2106, notwithstanding section 8401(20); and
the term “child” has the meaning given such term by section 8441.
Source credit: (Added Pub. L. 99–335, title I, § 101(a), June 6, 1986, 100 Stat. 522; amended Pub. L. 99–556, title I, § 103, title V, § 502(b), Oct. 27, 1986, 100 Stat. 3131, 3140; Pub. L. 100–238, title I, §§ 104(b), 105(a), Jan. 8, 1988, 101 Stat. 1746; Pub. L. 102–83, § 5(c)(2), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–242, title IV, § 466(b), Dec. 19, 1991, 105 Stat. 2385; Pub. L. 103–82, title III, § 371(b)(1), Sept. 21, 1993, 107 Stat. 910; Pub. L. 103–337, div. A, title XVI, § 1677(a)(3), Oct. 5, 1994, 108 Stat. 3019; Pub. L. 104–201, div. A, title VI, § 637(b), Sept. 23, 1996, 110 Stat. 2580; Pub. L. 106–168, title II, § 202(a), Dec. 12, 1999, 113 Stat. 1817; Pub. L. 106–554, § 1(a)(4) [div. A, § 901(a)(2)], Dec. 21, 2000, 114 Stat. 2763, 2763A–196; Pub. L. 107–107, div. A, title XI, § 1132(b)(1), Dec. 28, 2001, 115 Stat. 1243; Pub. L. 110–81, title IV, § 401(b), Sept. 14, 2007, 121 Stat. 756; Pub. L. 112–105, § 15(a)(2), Apr. 4, 2012, 126 Stat. 301.)
- 1986Enacted · Pub. L. 99-335 · 100 Stat. 522
- 1986Amended · Pub. L. 99-556 · 100 Stat. 3131, 3140
- 1988Amended · Pub. L. 100-238 · 101 Stat. 1746
- 1991Amended · Pub. L. 102-83 · 105 Stat. 406
- 1991Amended · Pub. L. 102-242 · 105 Stat. 2385
- 1993Amended · Pub. L. 103-82 · 107 Stat. 910
- 1994Amended · Pub. L. 103-337 · 108 Stat. 3019
- 1996Amended · Pub. L. 104-201 · 110 Stat. 2580
- 1999Amended · Pub. L. 106-168 · 113 Stat. 1817
- 2000Amended · Pub. L. 106-554 · 114 Stat. 2763, 2763
- 2001Amended · Pub. L. 107-107 · 115 Stat. 1243
- 2007Amended · Pub. L. 110-81 · 121 Stat. 756
- 2012Amended · Pub. L. 112-105 · 126 Stat. 301
A history note hasn’t been published yet. The record shows enactment by Pub. L. 99-335 on 1986-06-06.
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