Posted on Friday, 1st January 2021 by

Print This Post Print This Post
Share

Those planning to retire soon will benefit somewhat from the small 1% federal employee’s pay raise this year. Primarily, your annual leave buy back will be at the new pay rate starting the first pay period of 2021. If you plan on staying another year or longer the raise will increase your high three average earnings that is used to determine your monthly annuity. Retirees ended up with a 1.3% COLA this year, a bit more than the federal employees increase, still not enough considering inflation and especially higher health care costs.

Request a Federal Retirement Report™ to review projected annuity payments,
income verses expenses, FEGLI, and TSP projections.

The President signed an Executive Order in December.  The 1% pay raise 2021 charts are now available along with all special rates and wage grade salaries.

The pay raise will take effect with the first full pay period of 2021. We published the new pay table on January 1, including the locality pay area definitions outlining the pay rates for all regions nationwide.

The rates of basic pay or salaries of the statutory pay systems are included. The general categories are listed below:

  • The General Schedule
  • The Foreign Service Schedule
  • schedules for the Veterans Health Administration of the Department of Veterans Affairs
  • Senior Executive Service
  • Certain Executive, Legislative, and Judicial Salaries
  • The Executive Schedule

OPM was fast to react to the Presidential Order and released the new tables in late December.

Following are links to the new 2021 locality pay tables:

Click here for: Special Rates Tables

Helpful Retirement Planning Tools

Disclaimer: The information provided may not cover all aspect of unique or special circumstances, federal regulations, medical procedures, and benefit information are subject to change. To ensure the accuracy of this information, contact relevant parties for assistance including OPM’s retirement center. Over time, various dynamic economic factors relied upon as a basis for this article may change. The advice and strategies contained herein may not be suitable for your situation and this service is not affiliated with OPM or any federal entity. You should consult with a financial, medical or human resource professional where appropriate. Neither the publisher or author shall be liable for any loss or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.

Last 5 posts by Dennis Damp

Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, ESTATE PLANNING, FINANCE / TIP, RETIREMENT CONCERNS, SURVIVOR INFORMATION | Comments (0)


Print This Post Print This Post