CREDITABLE MILITARY SERVICE FOR CIVIL SERVICE RETIREMENT

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP62-00631R000300110027-9
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 15
• Document Creation Date: December 12, 2016
• Document Release Date: April 29, 2002
• Sequence Number: 27
• Publication Date: March 25, 1957
• Content Type: MF

6
Approved For Release 2002/06/25: CIA-RDP62-00631R000:300110027-9
OGC Has Reviewed
MEMORANDUM FOR: Mr. Houston
3UBJECT : Creditable Military Service for
Civil Service Retirement
-) March 195(
1. I refer tol 'inquiry concerning para-
L;raph II 2 of the Certificate of Membership in the U.S. Civil
Service Retirement System (Attachmentl). I am advised that the
Personnel Office has received numerous requests for clarification
of this provision, which concerns the crediting of military ser-
vice in the computation of annuity under the Civil Service Retire-
ment System.
2. The doubts and misunderstandings about this--what periods
of military service are or are not creditable--stem from the fact
that the Certificate of Membership is designed to provide basic
3didance to employees, and is necessarily restricted by considera-
tions of space and a need to use the language of the layman.
3. The basic statutory authority on the question of credit-
able military service is P.L. 854 of the 84th Congress, Title IV,
Sec. 3(b) (Attachment 2).
4. Under P.L. 654 persons receiving ordinary military retired
pay do not receive credit for tne same service for Civil Service
retirement purposes nor do persons whose military service has been
credited for Social Security benefits. (Service after 31 December
1956 is creditable for Social Security benefits under P.L. obl of
the 84th Congress, the pertinent provision of which is appended
as Attachment 3).
5. The following classes of persons receiving military retire-
ment pay .do receive credit for military service when their govern-
ment service is computed for Civil Service retirement purposes:
Those whose retired pay is awarded:
(1) Under the provisions of Title III of P.L. 810
of the 60th Congress (pertaining to retirement from
reserve components of the Armed Forces).
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(2) Because of a service-connected disability
incurred in combat with an enemy.
(3) Because of a service-connected disability
caused by an instrumentality of war and incurred in
line of duty.
OGC:HRC:mpg:bb
Distribution:
Orig. & 1 -
1 -
1 -
.1
? -
? -
Office of General Counsel
Addressee w/attachments
Subject
Signer
Chrono
Legal
Vital
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25X1A
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CERTIFICATE OF MEMBERSHIP IN THE UNITED STATES
CIVIL SERVICE RETIREMENT SYSTR4
II. Credit for Service
2. Military Service. Periods of active and honorable
service with the United States Armed Forces are creditable
toward retirement if completed before final termination of
your employment as a member of the Retirement System. .
(Military service may not be creditable if you draw military
retired pay, or if it was performed after December 1955 and
social security benefits are payable.
Attachment 1
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Approved For Release 2002/06/25 : CIA-RDP62-00631R000300110027-9
F DERAL EXECUTIVE PAY ACT OF 1956
Public Law 654, 84th Congress
TITLE IV - Civil Service Retirement
Section 3(b). An employee or Member shall be allowed credit.
for periods of military service prior to the date of the sepa-
ration upon which title to annuity is based; however, if an
employee or Member is awarded retired pay on account of mili-
tary service, his military service shall not be included, unless
such retired pay is awarded on account of a service-connected
disability (1) incurred in combat with an enemy of the United States
or (2) caused by an instrumentality of war and incurred in line
of duty during an enlistment or employment as provided in Veterans
Regulation Nubbered 1(a), part I, paragraph I, or is awarded
under title III of Public Law 810, El4atieth Congress, except
that for purposes of section 9(c) (1); Pa Member (A) shall be
allowed credit only for periods of military service not exceed-
ing five years, plus any military service performed by the
Member upon leaving his office, for the purpose of performing
such service, during any war or national emergency proclaimed
by the President or declared by the Congress and prior to his
final separation from service as Member and (8) may not receive
credit for military service for which credit is allowed for the
purposes of retired pay under any other provision of law. Noth-
inE,t in this Act shall affect the right of an employee or a Member
to retired pay, pension, or compensation in addition to the
annuity herein provided.
*Annuity computation
Attachment 2
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Approved For Release 2002/06/25 : CIA-RDP62-00631R000300110027-9
SERVICEMEN'S AND VETERANS' SURVIVOR
BENEFITS ACT
Public Law 861, 84th Congress
TITLE IV - Old-Age and Survivors Insurance
PART A - Provisions Relating to Title II of
the Social Security Act
Sec. 402. (a) Section 210 of the Social Security Act
is amended by adding at the end thereof the following
new subsections:
"Service in the Uniformed Services
"(m) (1) Except as provided in paragraph (4)0 the
term 'employment' shall, notwithstanding the provisions
of subsection (a) of this section, include service per-
formed after December 1956 by an individual as a member
of a uniformed service on active duty; but such term
shall not include any such service which is performed
while on leave without pay.
Attachment 3
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25X1A
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2
Military Service for
rviee Aetirament
I refer to I inquiry concerning pars-
2 of the Certificate of Membership in the U.S. Civil
raiment tan (Attaahmamt1). I am advised that the
ce has received numerous requests ter clarification
aloe) viola concerns t1e. crediting of militery ser-
tion of annuity under the Civil Service Retire
sunderatandinsa about periods
axe not e ditah1e--stea frca the fact
Membership is designed to provide basic
mod is necessarily restricted by nonsidere-
to use the language of the laymen.
The basic statutory authority on the question of credit-
lltary service is Pa,. 0,4 of the 84th Cbegress, Title IV,
b) (Attachment 2).
.r ?.L. 3,4 persons receiving ordinary military roil,/ d
pay do not receive credit for the same Gerrie, for Civil Service
retirement Perposes nor do persons whose military servioe hes been
credited far Social Security benefits. (Service after 31 Dsomber
1956 is creditable for Social Security benefits under P.L. ael of
the 64th Congress, the pertineet provision of which is appended
as Attachment 3).
5. The followingclasaca of persons receiving military retire
meat pay do receive credit for military service when their sAvern
sent serviee is compute& for Civil Service retirement purpodes:
'Mose vhoee retired pay is swarded4
Undmr the provisions of Title rn of IL. 810
Congress (pertainingto retirennst from
Caw:lents of the Armed Foroes).
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(2) Become of e .crvLc-connete Usbi3.itr
incurred is combat with en enemy.
(3) Because of a service-connected disability
used. by en 1aatrtentai.ity of war sizd incurred in
line of duty.
Office of General Counsel
sbb
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CKSTIMATE OF ISMBERSIMP II THE UNITED SUNS
Cl"fn SERVICE =MUM SYIPXII
Credit fOr Service
2. JILlLtsr3r Service. Periods of active and honorable
rvice with the lid-States Armed rarettil are creditable
mini retirement if completed before final termination of
your employment ae a member of the Retirement System.
Military service may not be creditable if you dray military
retired pay, or if it vas performed atter December 1956 and
social security benefits are payable.
Attachment I
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Approved For Release 2002/06/25 : CIA-RDP62-00631R000300110027-9
Nana =CV= PAY ACT 07 1956
Public Law 854, 84th Congress
vil Service Retirement
Section 3(b). An employee or Mitber thall be allowed credit
tar periods of military service prior to the date of the sepa-
ration upon which title to annuity is based; however, if an
employee or Mother is awarded retired pay on account of mili-
tary service, his military service *hall not be included, unleso
such retired pay is awarded on account of a service-oonnected
-disability (1) incurred in coMbat with an enemy of the United States or
or (8) caused by an instrumentality of war and incurred in line
of duty during an enlistment or employment as provided in Veterans
Regulation RUMbered 1(a), pert X, piiitigraph I, or is awarded
Under title III of Public UN 8101-1111gptieth Congress except
that for purposes of section 9(c) (1)7a Miember (A) slaall be
allowed credit only for periods_of military service not exceed.-
ing five years, plus any military service performed by the
*amber upon leaving his office, for the purpose of performing
such service, during any var or national emergenay proclaimed
by the President or declared, by the Congress and prior to hie
final separation from service as Eleber and (B) may not receive
credit for military service for which credit is allowed for the
purposes of retired pay under any other provision of law. Noth-
ing in this Act shall affect the right of an employee or a lisiaber
to retired pay, pension, or compensation in addition to the
annuity herein provided.
*Annujty computation
Attachment 2
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Approved For Release 2002/06/25 : CIA-RDP62-00631R000300110027-9
SERVICAMEN'S AID VATIRARS' SURVIVOR
BJEXPITS ACT
Public Law 8810 ekth Congress
O1d-400 #0,P4 tarTivOrs Ineuranoe
PAW A - Provisions Relating to Title II of
the Social Security Act
(a) Section 210 of the Social ty Act
amendelA by adding at the end thereof the following
new enbsectionst
"Service in the Uniformed Services
() (1) accept an provided in paragreph (k)$ the
loyment. shall, notwithstanding the provisions
of subsection (a) of this section, include service per-
formed after December 1956 by en individual as a member
of a uniformed service on active duty; but such term
shall not include any such service which is performed
utile on leave without pay.
Attachment 3
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(141 c 1 411/4/idk
111/ //e/
nitcd tates Zi1eScruice
Raiment *pm
While you are employed and are a member of this system, you, and the Government as your employer, each contribute to the Retirement
Fund at the rate of 61/2% of your basic salary to provide valuable retirement and survivor benefits for yourself and your family. You are
guaranteed a return from the Retirement Fund of an amount which is at least equal to your contributions. This return may be in the form of
annuity payments or as a lump-sum refund to you or your survivors.
It is important that you, as a member of this system, acquaint yourself with the facts in this certificate. Then place the certificate with
your other important personal papers for safekeeping. Review it from time to time so that you will be thoroughly familiar with your retirement
rights and with the protection your family will have in the event of your death. This certificate will be helpful in planning intelligently for your
future and that of your family.
I. Eligibility for Retirement
1. General Requirements.?There are two general requirements
which retiring employees must meet. They are:
(a) You must have at least 5 years of civilian service.
(b) Unless you retire on account of total disability, you must
have had at least 1 year of civilian service under the
Retirement System within the 2-year period preceding the
separation on which your retirement is based.
2. Immediate Retirement.?If you meet the general requirements
and any combination of minimum age and service, as well as the
special requirements (if any) shown in the following table, you may
retire and be paid an immediate annuity.
Minimum
Age
Minimum
Service
(Years)
Special Requirements
62
5
None
60
30
None
55*
30
None
any*
age
25
Your separation must be involuntary without
cause.
50*
20
Your separation must be involuntary without
cause.
any
age
5
You must be totally disabled for service in the
position you occupy.
70
15
Separation is compulsory.
*Annuity is reduced if under age 60 (see item 111.4, Reduction for Retirement Before
Age 60).
3. Deferred Retirement.?If you meet the general requirements
and are separated from the Federal service for any reason before you
are eligible for immediate retirement, you may be paid an annuity
when you reach age 62, unless you give up your right to this annuity
by applying for and being paid a refund of your retirement deduc-
tions. (See IX. Refund of Contributions.)
II. Credit for Service
1. Civilian Service.?All periods of service as an employee of the
Federal Government or the District of Columbia Government are
creditable toward retirement.
2. Military Service.?Periods of active and honorable service with
the United States Armed Forces are creditable toward retirement if
completed before final termination of your employment as a member
of the Retirement System. (Military service may not be creditable if
you draw military retired pay, or if it was performed after December
1956 and social security benefits are payable.) -1
3. Non-Deduction Service.--Retirement deductions are never made
for military service. If you have military service you will be given
free credit for it.
Retirement deductions for civilian service began August 1, 1920.
If you have service before that date, you will be given free credit
for it.
If you have civilian service since August 1, 1920, during which no
retirement deductions were made, you will be given credit for it.
However, unless you deposit in the Retirement Fund an amount to
cover this service, your annuity will be reduced by 16% of the sum
due as deposit.
The amount due as depositk.,401weEfffirRgpegAsdec12662RM/25
--basic salary you received duringriEe period of non-ETuction service,
plus interest. Percentage rates for deductions have been: 21/2%
from August 1920 to June 1926; 31/2% from July 1926 to June 1942;
5% from July 1942 to June 1948; 6% from July 1948 to October
1956; and 61/2% thereafter. Interest is at 4% to December 31,
1947, and 3% thereafter, compounded annually.
4. Service for Which Deductions Were Refunded.--In computing
the annuity payable to you or your survivor, no credit will be allowed
for any service for which retirement deductions have been refunded
to you unless you redeposit the amount of the refund, plus interest at
4% to December 31, 1947, and 3% thereafter, compounded annually.
However, service covered by a refund which has not been redeposited
is creditable in establishing eligibility for retirement benefits.
5. How To Make Deposit or Redeposit.?Application (on Stand-
ard Form 2803) to make a deposit or redeposit, or both, must be
made to the Civil Service Commission through your employing
agency. After your application has been approved, payments may
be made in installments of not less than $10. Your survivor may not
make a deposit or redeposit or complete installment payments for you.
III. Amount of Retirement Annuity
1. What Your Annuity Depends On.?The amount of your basic
annuity will depend primarily upon your length of service and your
"high-5" average salary. This is the highest salary obtainable by
averaging your rates of basic salary in effect during any 5 consecutive
years of service, with each rate weighted by the time it was in effect.
Your basic annuity is limited to 80% of your "high-5- average
salary. Your basic annuity must be reduced if you (a) retire before
age 60, except for total disability, (b) have not made a deposit for
non-deduction service, or (c) elect a survivor type annuity.
2. Basic Annuity Formula:
(a) Take: 11/2% of the "high-5- average salary and multiply
the result by 5 years of service;
(b) Add: 13/4% of the "high-5" average salary multiplied by
years of service between 5 and 10;
(c) Add: 2% of the -high-5- average salary multiplied by all
service over 10 years.
Instead of using the 11/2%, 13/4%, and 2%, substitute 1% of
the -high-5" average salary, plus $25, for any or all of these
percentages if such a substitution will produce a higher annuity.
(You can estimate your basic annuity from the Annuity Chart on
the last page of this certificate.)
3. Minimum Disability Annuity.?If you retire for total disability
you are guaranteed a minimum basic annuity which amounts to the
lesser of:
(a) 40% of your "high-5- average salary; or
(b) the sum obtained by using the Basic- Annuity Formula
after increasing your length of service by the time between
the date of your separation for retirement and the date you
reach age 60.
This guaranteed minimum does not apply if you are already age 60
when you retire or if it is less than the basic annuity obtained by
applying the Basic Annuity Formula.
4. Reduction for Retirement Before Age 60. --If you retire before
age 60, except for total disability, your annuity is reduced by:
(a) 142 of 1% for each full month (1% a year) you are under
age 60 (but not under age s5 ) : PLUS--
ciA-KbFik?6tfeirefiyol3Ooli A year), if any, you
are under age 55.
Approved For Release ANNWT:)CICIRMIR2F00631R00030011002
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APPLICABLETO EMPLOYEES SEPARATED AF TER SEPTEMBER 30,1956
LENGTH of SERVICE
YEARS
10 -
12
13 -
16
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21 -
22-
23-
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24-
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28
27
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3 1 7
327
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