FERS annuity and TSP-derived income


Q. I’m a few years out from retirement but want to plan carefully for that day. A lot is written about earning money from outside sources (e.g., non-federal employment or self-employment) and how it affects Social Security benefits. What I want to know is if I retired today under the $15,480-allowed outside-income criteria, would my FERS annuity and any TSP income (either annuity or withdrawal) be included in that $15,480-income ceiling, or are they treated separately thereby allowing me to receive my full Social Security benefit, FERS annuity, TSP income and outside income together without reductions?

A. FERS annuity and TSP-derived income are not considered in computing the Social Security earned income offset.


About Author

Mike Miles is a Certified Financial Planner licensee and principal adviser for Variplan LLC, an independent fiduciary in Vienna, Virginia. Email your financial questions to fedexperts@federaltimes.com and view his blog at money.federaltimes.com.

Leave A Reply