Military Service

Can I Get Retirement Credit for my Military Service?

If you were in the military and now work in a civilian job where you contribute to FERS or CSRS for retirement, your time in the military might count towards your civilian retirement. To ensure this, you need to pay for your military service time, often called "buying back" your time. First, you'll need to get an estimate of your earnings during your military service from the military finance center.

If you have prior federal service and initiated a military deposit during your prior employment, provide the Benefits Office with a copy of form 1514. You can obtain this from your prior agency.

For more information on how a military deposit can impact your retirement, review the retirement plan in which you are covered.

Completing Your Military Service Deposit

To count your active-duty military time towards your civilian retirement, you need to pay a deposit. This is 3% of your basic pay from when you were in the military, and there might be extra interest charges. You get a 3-year window from when you start a job that qualifies for retirement to pay this deposit without any interest. After those 3 years, interest will start to add up every year on any amount you still owe.

You can use the Military Service Earnings/Buy Back Estimator Tool to project your estimated earnings and the cost of buying back your military service time.  This is an unofficial estimation of what may be owed when buying back your military time. Our office must have an official earnings statement. To obtain this, follow the steps below.

1.    Request Estimated Military Earnings

a.    For each branch of service, complete a separate Estimated Earnings During Military Service request form, RI 20-97.
 
b.    Attach your Certificate of Release or Discharge from Active Duty, DD 214 (or equivalent) that shows an honorable discharge, to the RI 20-97 and send the documents to the appropriate military finance center. Verification of your service is required to obtain your estimated earnings. A list of acceptable documents that may be used to verify your service are as follows:

  • DD Form 214 (most common)
  • Letter from the Military Academy
  • Academic Record of Classes for the time or years in question
  • Any official letter on letterhead stationery and signed by a representative from appropriate government agency/unit.
  • NA Form 13038, Certification of Military Service for the National Archives and Records Administration
  • AF Form 1613, Statement of Service
  • NA Form 13041, National Archive and Records Administration, Statement of Service (please provide rank and years of service)
  • NA Form 13072, National Archive and Records Administration, Summary of Military Service (please provide rank and years of service)
  • NA Form13165, National Archive and Records Administration (please provide dates of rank and years of service).
    Note:  All documents must include the rank, type of service (Title 10), character of discharge, lost time, and dates of service.

2.    Complete the applicable application to initiate your deposit.

3.    Submit documents to your Benefits Contact.
Upon receipt of your certified RI 20-97 from the Military Finance Center, attach the following documents and forward them to your Benefits contact.

  • Deposit Application (SF 2803 or SF 3108
  • Discharge Certificate (DD 214 or equivalent)
  • Official Estimated Earnings (RI 20-97)
    Note:  Filing the documents does not commit you to making the deposit payment.

Military Deposit Amount and Payment

After you submit your paperwork to your Benefits Contact, the paperwork will be forwarded to the Defense Finance and Accounting Service (DFAS). Within 45 days of receiving your documents, DFAS will provide you with the amount you owe and how to pay. You can also see what you owe on your Leave and Earnings Statement (LES) before you get the letter.

If you choose to make the payment, you need to do so before you retire or leave your federal job. The minimal amount you can pay through your paycheck is $25 each pay period, but you can also choose to pay the entire amount at once.
 

After you've paid the balance that you owe, you'll receive a confirmation letter in myPay at the end of the pay period when your last payment is made. This confirmation will be available for 26 pay periods. Make sure to forward a copy of the confirmation letter to your Benefits Specialist when you've paid off your balance to ensure you get the credit for your military service towards your retirement.

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