There are life events occurring during a federal retiree’s retirement that can affect their retirement benefits. This column is the first of a series of columns discussing how certain life events can affect a federal retiree’s benefits. This column discusses the effect of marriage when a federal retiree gets married for the first time after retiring from federal service.
Marriage After Retiring from Federal Service
If a federal employee gets married for the first time after retiring from federal service, the retiree can elect a reduced annuity to provide a survivor annuity for the retiree’s spouse. The election to provide a survivor annuity must be done within two years of the date of their marriage. The amount of the survivor annuity depends on which retirement system – CSRS or FERS – the retiree is covered by, as explained here:
‧ CSRS. A full (maximum) CSRS survivor annuity equal to 55 percent of the retiree’s basic CSRS annuity. The alternative is a partial CSRS survivor annuity equal to 55 percent of the “base” selected. The following examples illustrate:
Example 1. Lawrence, aged 72, retired from federal service as a CSRS employee in 2018. At the time he retired, Lawrence was single. In 2024, Lawrence married Beverly and elected to give Beverly the maximum CSRS survivor annuity. At the time of his election to give Beverly a survivor annuity, Lawrence’s CSRS annuity was equal to $100,000 per year. Beverly’s survivor annuity is equal to 55 percent of $100,000, or $55,000 per year. Note that Lawrence’s CSRS annuity and Beverly’s potential survivor annuity are both adjusted by annual COLAs.
Example 2. Pamela, age 70, retired from federal service as a CSRS employee in 2020. At the time she retired, Pamela was single. In 2025, Pamela married Howard and elected to give Howard a partial survivor annuity equal to 55 percent of the “base” she elects. Her CSRS annuity is $120,000 per year, and Pamela elects a base of $90,000. Howard’s survivor annuity is therefore equal to 55 percent of $90,000, or $49,500 per year. Note that Pamela’s CSRS annuity and Howard’s survivor annuity are both adjusted by annual COLAs.
‧ FERS. A retiring FERS employee can elect either a full FERS survivor annuity benefit – equal to 50 percent of the deceased FERS annuitant’s FERS annuity at the time of death, or a partial FERS survivor annuity benefit. This is equal to 25 percent of the deceased FERS annuitant’s annuity at the time of death. The following examples illustrate:
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Example 3. Max, aged 57, retired from federal service as a FERS employee on December 31, 2024. At the time he retired, Max was single. In early 2026, Max married Sharon and elected to give Sharon a full FERS survivor annuity of 50 percent. Max’s current (2026) FERS annuity is $80,000 per year. If Max were to die, Sharon would be eligible to receive a full survivor annuity equal to 50 percent of $50,000 or $40,000. Note that Max’s annuity and Sharon’s survivor annuity are subject to COLAs starting the year after Max becomes age 62.
Example 4. Jennifer, age 62, retired from federal service in 2024 at the age of 60. At the time Jennifer retired she was single. In early 2026, Jennifer married James and elected to give James a partial FERS survivor annuity of 25 percent. Jennifer’s current FERS annuity is $42,000 per year. If Jennifer were to die, James would be entitled to a partial FERS survivor annuity of 25 percent of $42,000 or $10,500 per year. Note that Jennifer’s FERS annuity and James’ partial FERS survivor annuity are subject to COLAs starting the year after Jennifer becomes age 62.
Note: If a CSRS annuitant or a FERS annuitant remarries the same person to whom they were married at retirement, then the annuitant cannot elect a survivor annuity greater than the one the annuitant elected at retirement.
Reductions to a CSRS or FERS Annuity When Electing to Provide the Spousal Survivor Annuity Benefit
There will be two reductions to a CSRS annuity or to a FERS annuity when a federal retiree elects to provide a survivor annuity benefit to a spouse:
‧ The regular reduction to provide the survivor benefit which depends on the amount the federal retiree elects for the survivor annuity benefit:
̶ Under CSRS: 2.5 percent of the first $3,600 of retiree’s CSRS annuity and 10 percent of the remainder of the basic CSRS annuity, up to the amount the retiree has chosen as the “base” for a full survivor annuity benefit.
̶ Under FERS: (1) 10 percent of the basic FERS annuity for full survivor benefits; or (2) 5 percent of the basic FERS annuity for partial seurvivor annuity benefit, and
‧ A permanent acturial reduction equal to the difference between the new annuity rate with the survivor benefit and the old annuity rate without the survivor benefit since the retiree’s retirement date, plus a 6 percent interest charge. The acturial reduction continues even if the marriage ends due to divorce.
How to Provide a Survivor Benefit for a Spouse Married After Retiring from Federal Service
A federal retiree who wants to provide a survivor benefit to a spouse they married during retirement should write to OPM in order to notify OPM of their marriage. The retiree should send a copy of their marriage certificate showing the date of the marriage and the name of their spouse. The retiree should send all information to OPM at the following address:
Retirement Operations Center
US Office of Personnel Management
Post Office Box 45
Boyers, PA 16017
OPM will then send the retiree information about the cost of the benefit and ask the retiree to confirm their election to give a survivor benefit.
Changing Health Benefits Enrollment Due to Marriage After Retirement
A federal retiree who wants to change their Federal Employees Health Benefits (FEHB) program enrollment from self only to self plus one (or self and family) in order to include their spouse on the FEHB health insurance needs to call OPM to notify OPM of the change in FEHB enrollment coverage status. The retiree should call OPM at 1-800-767-6738 anytime from 31 days before their marriage to 60 days after their marriage. Otherwise, the retiree will have to wait until the next FEHB open season to make the enrollment change. If the retiree already has self and family coverage, then the retiree should contact the FEHB health benefits carrier to include their spouse on their coverage.
Changing Designation of Beneficiary for Life Insurance, Thrift Savings Plan, and FERS/CSRS annuity
A federal retiree who gets married after retiring from federal service may also want to change their designations of beneficiary for their life insurance and for retirement. The designation forms are:
‧ Life Insurance (FEGLI). Form SF 2823 which may be downloaded at www.opm.gov/forms.
‧ Thrift Savings Plan (TSP). Form TSP-3 (must be done) online using the retiree’s online TSP account; and
‧ Retirement system designation of beneficiary forms that can be downloaded at www.opm.gov/forms, for any money in the retirement fund remaining upon the retiree’s death and any unpaid annuity:
FERS: Form SF 3102
CSRS: Form SF 2808
If a retiree does not have a designation of beneficiary on file, then OPM will pay the first person(s) listed below who is alive on the date the payment becomes due:
‧ Widow or widower.
‧ Child or children.
‧ Parents in equal shares, or all to the surviving parent.
‧ Administrator or executor of the deceased’s estate, or
‧ If none of the above, then next of kin as determined by state law.
Edward A. Zurndorfer is a CERTIFIED FINANCIAL PLANNER®, Chartered Life Underwriter, Chartered Financial Consultant, Registered Health Underwriter and Enrolled Agent in Silver Spring, MD. Tax planning, Federal employee benefits, retirement and insurance consulting services offered through EZ Accounting and Financial Services, located at 833 Bromley Street Suite A, Silver Spring, MD 20902-3019
