Government Executive
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A weekly roundup of pay and benefits news.
The Office of Personnel Management this week issued regulations implementing a 2018 law to ensure that agencies can pay interest on federal employees’ behalf if the agency is responsible for an error in calculating the cost of an optional retirement benefit related to military or volunteer service.
A provision of the 2018 Correcting Miscalculations in Veterans’ Pensions Act allows agencies to make payments on behalf of federal workers to cover for administrative mistakes that led those employees to underpay for an optional retirement annuity benefit.
Currently, federal employees in the Civil Service Retirement System or the Federal Employees Retirement System who have served in the military after 1956 or volunteered in the Peace Corps or Volunteers in Service to America have the option to pay a deposit plus interest to their agency for their service in order to continue to receive retirement credit for that service, regardless of their entitlement to Social Security benefits.