Another spike could occur in the autumn, reflecting employees who accepted deferred resignation offers while planning to retire when the paid leave period ends. Image: Nuk2013/Shutterstock.com
By: FEDweek StaffFederal retirement applications have spiked recently, with the number of applications reaching OPM in May hitting levels typically seen only around the turn of the year.
The number received in May was above 15,000, about double the number of the two prior months, likely reflecting acceptances of early retirement offers and decisions to retire by employees who had been already eligible under standard rules but who had been deferring retirement. About 15 percent of federal workers are eligible to retire at any one time.
OPM has reported data on retirement applications received and processed monthly for many years, ordered by Congress as a means of pressuring OPM to reduce processing time, a longstanding issue. The average time year-to-date has been 52 days; while applications are being finalized, retirees receive interim payments intended as a rough estimate of the monthly entitlement, but often much lower.
OPM’s numbers reflect applications it receives in a given month, not—as is commonly misreported—the number filed in a month. In many cases the numbers reflect applications that were filed in the prior month, due to the processing time of potentially several weeks or longer within an employee’s own agency before sending the application to OPM for adjudication.
Applications received at OPM typically are highest in January and February, in the latter case likely reflecting applications made in the prior month but not reaching OPM until then. For example, the January figures for 2024 and 2025 were about 13,000 and about 16,100, while the February figures were about 8,800 and 9,600.
In other months of 2024, the figures—which include retirements of U.S. Postal Service employees—ranged from about 5,000 to about 7,000.
There are financial incentives for retiring around the turn of the year, including eligibility to be paid for the value of unused annual leave beyond the standard 240-hour limit for carrying leave into a new leave year.
Another spike could occur in the autumn, reflecting employees who accepted deferred resignation offers while planning to retire when the paid leave period ends. In many cases that will be September 30 although in some cases employees have been allowed to delay their retirement date until as late as year’s end.
Average processing time at OPM also rises with increases in applications received. In May, cases processed in less than 60 days on average took 30 days to complete; cases taking more than 60 days on average took 110 days.
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