Ask Larry

What Will Happen When I Turn 62?

Hello Larry!
I am a 100 % disabled vet, drawing full disability.
Also a retired postal employee drawing FERs retirement along with the FERs supplement. I retired at 56 having reached my minimum retirement age. PROBABLY should have been medical retirement from post office but was not.
I understand that my Supplement or "Gap" payment will stop at 62. What will happen then?
Will my FERs annuity convert to SSA?
Does any of this have any impact on my SSDI monthly award also?
Awaiting your reply.
Thank you in advance.
Respectfully Submitted,
Vince

Hi Vince. My expertise is limited to Social Security benefits, so I'm unable to answer any questions about FERS or VA benefits. What I can tell you is that if you're drawing Social Security disability (SSDI) benefits, those benefits will automatically convert to regular Social Security retirement benefits at the same benefit rate when you reach full retirement age (FRA).

You could switch from drawing SSDI to drawing retirement benefits prior to FRA, but doing so would just reduce your monthly benefit rate. SSDI benefits are paid at a rate of 100% of the person's primary insurance amount (PIA), as are retirement benefits if you start drawing them at FRA. However, if you start drawing retirement benefits at age 62, you would only be paid roughly 70% to 75% of your PIA depending on your year of birth.

Best, Jerry

Posted: 
Apr 23 2021 - 10:20am
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