This is different for everyone. First, the disability process takes a long time, second it may not pay as much as you were hoping and third it comes with many rules. The process is fairly simple but a little time consuming.
How long does the disability retirement process take?
Most people should expect it take between 6-12 months. Social Security Disability can be as fast as 2 months and up to 6 months, while federal government disability retirement takes 6-12 months.
What is the difference between Social Security Disability (SSDI) and Disability Retirement?
Social Security disability comes directly from Social Security. Disability retirement comes from the Federal Pension System.
Do I have to apply for SSDI and Disability Retirement?
Yes. In order to even apply for Disability Retirement you must first apply for SSDI.
Can I continue to work while applying?
Yes. Working during the application process does not affect your chances of getting Disability Retirement. However, you will not be approved to receive SSDI while working.
What are the first steps in applying for Disability Retirement?
The first step is to send in an application for Social Security disability to the Social Security office. After this you can submit your application for disability retirement.
Can I work while applying for Disability Insurance?
If you plan to continue to working while applying, you should expect your Social Security disability case to be rejected from the start because your income will be to high. If at anytime during the application process you separate from work, you should re-apply for Social Security disability because you may become eligible. For those out of work, there is a chance you can start receiving social security disabilities prior to your retirement benefits, which can help with the wait.
How much should I expect to collect from my Disability retirement?
Assuming you do not receive Social Security disability,when you begin to receive your disability retirement income you will get 60% of your high-three salary. After the first 12 months that will change to 40% of your high-three. At age 62 your disability retirement income will change to a normal pension calculation of 1% of your high-three for every year worked as well as every year on disability.
The calculation changes if you receive Social Security Disability (SSDI), as they will offset your disability retirement with the amount you collect from Social Security. You will always receive the full amount of SSDI, with the offset coming as a reduced disability retirement income. So for the first year while receiving 60% of your high-three, your benefit is reduced by the full amount of your SSDI. After that, when your benefit is at 40% of your high-three, it will be reduced by 60% of your SSDI benefit. Then at 62 when disability retirement income becomes a normal pension there will no longer be any other reductions.
This is only a brief overview, the disability process is exhaustive. If you are considering it reach out to your local FEFA rep, who will help guide you through the process.
A member of our team will contact you with an answer soon.
THE BRAND FEFA IS OWNED BY FEFA LLC AND IN NO WAY IS AFFILIATED WITH OR A PART OF THE FEDERAL GOVERNMENT OR ANY AGENCY OF THE FEDERAL GOVERNMENT. FEFA IS A PRIVATE COMPANY WHO ASSISTS FEDERAL EMPLOYEES IN UNDERSTANDING AND EXECUTING THEIR RETIREMENT OPTIONS.