If you are within six months of retirement, it's a good idea to submit your redeposit request with your retirement application. Image: Kristen Prahl/Shutterstock.com
By: FEDweek StaffIn general, a deposit is the payment of the retirement deductions, plus interest, that would have been withheld from your pay if you had been covered by the Civil Service Retirement System (CSRS) or Federal Employees Retirement System (FERS) during a period of employment when retirement deductions were not withheld from your salary.
You are not required to make this type of payment, but it will affect the amount of your payment. And it must be done with care.
You can make a deposit if you are working and covered by the FERS or CSRS systems or if you have left government and are eligible for a current or future retirement benefit. Widows, widowers, or former spouses of deceased employees who are eligible to receive a monthly death benefit can also make a deposit.
You should ask to make a deposit, but you should not file an application to make a deposit if you are planning to retire within six months. If you are within six months of retirement, submit your request with your retirement application.
Interest is charged on any outstanding deposit balance. The computation of interest charges is based on your retirement coverage and when the service for which the deposit is being made was performed.
To apply use Standard Form (SF) 2803, “Application to Make Deposit or Redeposit (CSRS),” if you are covered by the Civil Service Retirement System or Standard Form (SF) 3108, “Application to Make Service Credit Payment (FERS),” if you are covered by the Federal Employees Retirement System (FERS). If you work for the Federal or District of Columbia Government, give your completed application to your employer first because they must certify it. If you no longer work for government, send your completed application to:
U.S. Office of Personnel Management
Post Office Box 45
Boyers, PA 16017
After OPM receives your application, it will send you instructions for making payment. You can make installment payments of at least $50, but interest accrues on any unpaid balance, as described above. Once you have made a deposit payment, it cannot be withdrawn unless you get a refund of all your retirement contributions.
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