If you are a U.S. Postal Worker struggling in your job due to a disability, you could be eligible for Federal Disability Retirement. This benefit is hidden in your federal retirement package, so many federal employees have no idea it exists. Federal Disability Retirement could allow you peace of mind in the future, so you don’t have to keep worrying.
It’s important for all federal employees to be well informed on their federal benefits, but USPS employees especially should be aware of what Federal Disability Retirement can offer. Here are six things that U.S. Postal Workers should know about Federal Disability Retirement.
It can allow you to retire now
Federal Disability Retirement can allow you to retire now, but don’t let this scare you away, retiring early isn’t a bad thing. Federal Disability Retirement allows you to maintain your federal benefits while providing a secure monthly annuity.
Federal Disability Retirement provides you with a monthly annuity based off your high 3 average in order to provide financial security.
This would allow you to stop worrying about reaching your retirement age. It can be stressful looking at the future and wondering how you will reach retirement, but luckily, Federal Disability Retirement provides a secure option for federal employees.
You do not have to be totally disabled
For Federal Disability Retirement, you must prove that you are occupationally disabled, not totally disabled. An occupational disability prevents you from performing at least one of the essential functions of your position. So, you must prove to the OPM that you can no longer perform your job, not any job.
For example, U.S. Postal Workers are required to lift 70 pounds, and if you suffer from a rotator cuff injury that prevents you from lifting over 20 pounds, you could be eligible for Federal Disability Retirement.
Your disability must, however, be expected to last for at least one year. It is imperative to have a doctor’s support throughout this process to provide diagnoses, restrictions, treatments, and medical documentation for your case.
You will be able to continue working in the private sector
One of the greatest benefits of Federal Disability Retirement is that you can work in a new job if you are physically able.
You will be able to work in the private sector and make up to 80% of your previous job’s current salary. So, as your USPS position receives pay increases, your income cap will adjust to follow.
This allows you to make additional income on top of your Federal Disability Retirement annuity, which provides you with the potential to make more than you were making while in your federal position.
We have seen thousands of federal employees go on to find a new passion in the private sector after retiring on Federal Disability Retirement.
You can continue your health and life insurance
You have the option to maintain your health and life insurance while on Federal Disability Retirement, which can make a significant financial impact, especially for those with increasing medical costs.
In order to maintain your health and life insurance into retirement, you must have been enrolled in FEHB for at least five years or the entirety of your service if less than five years.
You will still receive your regular federal retirement pension at age 62
Federal Disability Retirement provides a “bridge to 62” that can allow you to reach your full retirement age and receive your full pension.
At age 62, your Federal Disability Retirement will automatically transfer into your regular FERS retirement, and there are no additional steps that must be taken.
You will not lose any money and there will not be any reduction in your pension because you were on Federal Disability Retirement.
Your pension will be calculated using your high 3 average and your creditable years of service, which you will have continued to gain while on Federal Disability Retirement. We can’t overstate what a significant benefit this is!
The application process differs for USPS
U.S. Postal Workers have a slightly different application process than other federal employees– it’s important to be well informed so that you don’t miss any steps and delay your approval.
As a USPS employee, you will submit your application to the HRSSC for review. Your application will then go to the postal service finance center in Minnesota, but you must stick to all of OPM’s strict deadlines.
This process can be confusing, and you don’t want to do this alone, we are here to help.
As a Postal Worker, the possibility of losing your federal benefits due to a disability can be terrifying. If you are looking for a solution, Federal Disability Retirement could be the answer. It can help you reach your retirement age, without struggling through your job anymore.
Harris Federal will help you through every step of the application process, from the first consultation to submitting your application to the right agency.
Schedule a FREE consultation with our firm today to see if you qualify.