Posted on 06/02/2005 11:18:04 AM PDT by ken5050
Do you know for how long he served in the Navy?
That was a mistake on my part. He was not in the Navy but was on the staff of two Senators for seven years 1935-1942. That counts as federal service so he has 38 years federal service before selling back sick and unused annual leave. The guy is getting two percent of the average of his top three years times the number of years service adjusted for inflation. Current top grade amount is $162,000. 78% of that is $126,000 or a little better than $10,000 per month.
Assuming no break in service and the seven years working for the Senator and FTC counted towards Civil Service retirement, Felt would have received 76% of his high three. I estimated his high three to be around $45,000, which would give him a pension of $38,000. Estimating an annual COLA of 3.5% over the past 32 years, Felt would have a pension today of $114,255, so your estimate of $10K a month is in the ballpark.
I assume that Felt opted for the survivor benefit for his wife, which would have reduced his annual penison by about 10%. Once she died, the pension would be restored to the full amount. The pension is taxable.
Felt's advancement to Number 2 in the FBI was fairly rapid. Reading is bio I now understand why. He had political connections.
That counts as federal service so he has 38 years federal service before selling back sick and unused annual leave.
You don't sell back sick leave. It gets credited as part of your years of service. The annual level balance is paid at the time of retirement.
The guy is getting two percent of the average of his top three years times the number of years service adjusted for inflation. Current top grade amount is $162,000. 78% of that is $126,000 or a little better than $10,000 per month.
You can use the method you used to get a rough estimate, but that is not the way it is done. The top grade amount today has nothing to do with his pension computations. Rather, you receive your pension based your high three average pay. The pension is then increased each year based on the CPI-W, which is the same computation for Social Security.
A more accurate estimate of his pension, would be to take his intial retirement pension and go year by year with SS COLA annual increases The cap on SES salaries is tied to Congressional pay. Over the years there has been some wage compression at the top.
She may very well have no idea that there's another side or two, maybe three or four sides, or whatever, to the whole thing, and that her father actually comes off as one of the evil-doers who betrayed their public trust and broke the law.
Many of us suspect Mr. Felt doesn't care for the old folk's home.
Grimace for sure!
By the time you are 90 or thereabouts it declines to nearly zero. Or, if you agreed earlier to pay more and more each year, the premium requires most of your retirement.
I haven't run the numbers on this, but it seems to me that Mr. Felt's FGLI should be pretty nearly expired!
Certainly that could serve as an incentive to the heirs and assigns.
FEGLI doesn't work that way. There is the basic insurance, which can have coverage equal to your last salary plus $2,000. In Mr. Felt's case, this would be about $49K if he elected to retain it. He would have three options: (1)continue the full insurance past 65 paying the premiums; (2) pay a lower premium for 50% reduction coverage upon reaching 65 with the insurance declining 1% per month until it reached 50%, or (3) elect the 75% reduction option with the basic amount reaching 25% of the insured amount with a decline of 1% per month until 25% is left. Under Option 3 you don't pay an premiums past 65. You must elect one of the three options at retirement.
There is an option A, which is $10,000 insurance that declines 2% a month for 38 months until it reaches $2,500.
FEGLI also has Option B insurance, which allows you to elect multiple amounts of the basic insurance for additional coverage. You could have multiples up to three in addition to the basic insurance. Since Option B was introduced in 1981, Felt would not have been eligible for this part of FEGLI.
Without knowing what Felt selected for baisic insurance, the maximum could be $49K and the minimum $12,250. In any event, it is not a lot of money. Of course could have private life insurance and other investments.
I have no idea where the word came from.
And I never heard of a "meme". What's that?
Oh man, she hated Democrats.
:7)
Gutsy grandma! Very admirable, brohamie. She obviously taught you some good lessons.
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