COMPARISON OF FOREIGN SERVICE RETIREMENT AND DISABILITY SYSTEM WITH PERTINENT PROVISIONS OF THE CIVIL SERVICE RETIREMENT SYSTEM*

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-03721A000500040033-5
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 12, 2016
• Document Release Date: February 19, 2002
• Sequence Number: 33
• Content Type: CHART

Approved For ReleaW002/03/28 : CIA-RDP78-03721A00050 040033-5
COMPARISON OF FOREIGN SERVICE RETIREMENT AND DISABILITY SYSTEM
WITH PERTINENT PROVISIONS OF THE CIVIL SERVICE RETIREMENT SYSTEM*
(I)
Items
B. Contributions:
1. Compulsory ...................
C. Benefits:
1. Annuitants --------------------
3. Survivor annuities:
(a) Married particlpant__,
(2)
CSR
Government employees gen-
erally, unless temporary, in-
termittent or subject to an-
other Federal retirement
6)4 percent of employee's basic
salary.
Agency contribution of 6l4
percent of employee's basic
salary.
Maximum 10 percent of total
basic salary received since
Aug. 1, 1920. Payable in
multiples of $26.
Annuity.-Based on high 5
average years of salary Ili
n pereente9times$ nextlu5
years, plus 2 percent times
all years over 10 years of
creditable service. Annuity
not to exceed 80 percent of
high 5 average salary.
Reduced annuity with bene-
fits to widow or widower.
Corresponding benefits to
each dependent child.
Basic general formula.-Wid-
ow or widower (if survivor
annuity elected by retiring
employee): )4 of all or what-
ever portion of earned an-
nuity specified as base.
Annuity terminates on
death or remarriage.
Employyee's annuity reduced
by 2l4 percent of 1st $2 400
of any amount specified as
base for survivor benefits
plus 10 percent of the
amount over $2,400 up to
the full amount of em-
ployee''s annuity, if sped-
Children:
A surviving wife or hus-
band: 40 percent of av
erage salary divided by
number of children
$800; or $1,800 divided
by number of children,
whichever is lesser.
No surviving wife or hus-
band: ~,4 average salary
divided by number of
children; $720; or $2,160
divided by number of
children, whichever is
lesser.
Children annuities terminate
at age 18 (or on recovery
from incapacity after 18),
marriage or death. On ter-
mination of any child's an-
nult
y by death, wife or hus-
band's annuity by death.
(3)
FSR
who have served as chiefs of
mission for an aggregate pe-
rlo,l of 20 years or more,,
Foreign frervl(a Staff
(FSS) officers and employ.
ees with 10 or more years of
continuous service in the
Foreign Service.
6)4 portent ofemployoe's basic
salary.
Agency contribution of 64
percent of employee's basic
salnry.
Maximum of 10 percent of
told basic salary received
lime July 1, 1939. Payable
in multiples of 1 percent.
Bascd on high 5 average years
of salary 2 percent times
total number years credit-
able service not to exceed 35
years.
Surviving children, widowers,
and dependent widowers
may be included as survivor
annuitants.
Widow or widower (if survivor
annuity elected by retiring
employee): li of all or what-
ever portion of earned an-
nuity specified as base. An-
nuity terminates only on
death of widgw or widower.
Employee's annuity reduced
by 2 percent of 1st $2 400
of any amount apecined as
base for survivor benefits
plus 10 percent of the
amount over $2,400 up to
the full amount of em-
ployee's annuity, if speci-
9ed
Children:
A surviving wife or hus-
band: 40 percent of av-
erage salary divided by
number of children;
$600; or $1,800 divided
by number of children,
whichever is lesser.
No surviving wife or hus-
band: )i average salary
divided by number of
children; $720; or $2,160
divided by number of
children, whichever Is
lesser.
Children annuities terminate
at age 18 (or on recovery
from incapacity after 18),
marriage or death. On ter-
mination of any child's an-
nuity by death, wife or hus-
band's annuity by death,
(4)
Section
(5)
Comments
Most Staff officers and am-
and Foreign Service
Reservse officers are presently
covered by CSR.
FSR same as CSR.
Do.
CSR provides maximum 80
percent high 5 average. FSR
provides maximum 70 per-
cent high 5 average.
FOR pprovides survivorship
benefits comparable to those
of CSR.
Important difference In the
F8R provision Is that the
annuity of a surviving
widow or widower terminates
only on death of such sur-
vivor.
* INFORMATION TAKEN FROM CHART ENTITLED 11 COMPARISON OF MAJOR PROPOSED CHANGES IN
THE FOREIGN SERVICE RETIREMENT AND DISABILITY SYSTEM WITH PERTINENT PROVISIONS
OF THE CIVIL SERVICE RETIREMENT SYSTEM 11 APPEARING IN HOUSE OF REPRESENTATIVES
REPORTS NOS. 1890 AND 2104, 86TH CONGRESS, ZD SESSION, FOREIGN SERVICE ACT AMEND-
MENTS OF 1960.
Approved For Release 2002/03/28 : CIA-RDP78-03721A000500040033-5
 Approved For Release 2002/03/28 : CIA-RDP78-03721A000500040033-5
iu, i 11"
(1)
Items
4. Death in service:
(a) Widow-widower-.-----
(a) Tax exemption-------
(6) Bar to double annuity
(2)
CSR
annuities of surviving chil-
dren are recomputed as
though person whose an-
nutty was terminated had
not survived deceased em-
ployee.
Person in whom annuitant
has insurable Interest (ifsur-
vivorship and reduced an-
nuity elected): Si of partici-
pant's reduced annuity,
Retiring employee's annuity
reduced 10 to 40 percent de-
pending on difference be-
tween his age and age of
person designated to receive
survivor annuity. Survivor
annuity continues for life.
Widow or dependent widower:
!-i of participant's earned
annuity payable until death
or remarriage or until wid-
ower 'becomes capable of
self-support.
Children:
A surviving wife or hus-
band: 40 percent aver-
age salary divided by
number of children;
$600; or $1,800 divided
by number of children,
whichever is lesser.
No surviving wife or hus-
band: 4 average salary
divided by number of
children; $720; or $2,160
divided by the number
of children, whichever
Is lesser.
After 5 years of civilian serv-
ice: Same as full age and
service benefit. (Guaran-
teed 40 percent of average
salary or annuity projected
to age 60 whichever Is
lesser.)
Elective survivor benefits
based on actual years of
service credit.
If receiving disability com-
pensation under Federal
Employees' Compensation
Act, Sept. 7, 1916, is not
eligible for annuity for same
period but not barred from
greater benefit of either act.
Also is not barred from re-
solving. annuity under this
act by reason of own serv-
ices while receiving con-
currently any payment
under Federal Employees'
Compensation Act by rea-
son of death of some other
person. If awarded lump
sum under sec. 17 of FEC,
amount covering period be-
yond effective date of an-
nuity must be refunded to
IJ,S. Employees' Compen-
(3)
FSR
annuities of surviving chil-
dren are recomputed as
though person whose an-
nuity was terminated had
not survived deceased em-
ployee.
Desi:nated beneficiary: 54 of
participant's reduced an-
nuity. Retiring employee's
annuity reduced 10 to 40
percent depending on differ-
ence between his age and
age of person designated to
receive survivor annuity.
Survivor's annuity contin-
ues for life.
Widow or dependent widower:
). of participant's earned
annuity payable until death
of surviving widow or de-
pendent widower or until
dependent widower becomes
capable of self-support.
Children:
A surviving wife or hus-
band: 40 percent of aver-
age salary divided by
number of children;
$607; or $1,810 divided
by number of children,
whichever is lesser.
No surviving wife or hus-
band: Si average salary
divided by number of
children; $727; or $2,160
divided by the number
of children, whichever
is lesser.
Excludes from initial 5 years'
free credit granted for mili-
tary service for which no
contribution has been made
to the fund. Limits amount
of ectra service credit that
can be accredited to a dis-
ability annuitant to the
difference between his age
at the time of retirement
and the mandatory retire.
ment age applicable to his
class in the Service.
Elective survivor benefits
based on service credit upon
which participant's annuity
is computed,
Exempts disability annuity
from Federal income tax.
Same as civil service .........
(4)
section
(5)
Comments
FSR does not require that the
designated beneficiary have
an insurable interest.
FS It provides continuation of
widow's annuity until death
and allows the survivor to
receive the annuity based on
at least 20 years of service.
FSR provides minmum serv-
ice credit of 20 years or differ-
ence between age of partici-
pant at time of retirement
and mandatory retirement
age, whichever is lesser.
FSR provides tax exemptions.
FBR same as CSR.
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 Approved For Rele se,2002/03/28 : CIA-RDP78-03721A000 040033-5
(I)
Items
6. Discontinued service retire-
ment.
7. Disposition of contributions in
excess of benefits received.
D. Creditable service:
1. Leave without pay---.......
2. District of Columbia employ-
ment.
(2)
CBR
satlon Commission or be
deducted from annuity pay-
ments for that purpose.
Deferred annuity payable at
62 if separated employee has
5 years of civilian service
credit.
If deceased individual's con-
tributions are not returned
in the form of annuity (to
individual or his survivors),
the unreturned contribu-
tions must be paid to a des-
ignated beneficiary; or to an
order of precedence to
widow, children, parents.
etc.
Includes: Leave of absence
without pay granted during
covered employment while
performing active honorable
military service;
Leave of absence without pay
granted during covered em.
ployment while receiving
FEC benefits;
Civilian employment with
District of Columbia gov-
ernment.
No provision ..................
No provision exactly com-
parable.
Any annuitant reemployed
after retirement for age or
based on voluntary separa-
tion or an involuntary sepa-
ration for cause, or if retired
for disability and is age 60
or over at the time of re-
employment, retains his
full annuity, but the salary
of his position must be re-
duced by the amount of
annuity received.
(3)
FSR
Deferred annuity payable at'
age 60 if separated employee
has 5 years of civilian service
credit.
It deceased individual's con-
tributions are not returned
in the form of annuity (to
individual or his survivors),
the unreturned contribu-
tions must be paid to a des-
ignated beneficiary; or In
an order of precedence to
widow, children, parents,
etc.
Includes: Leave of absence
for active military or naval
service.
Includes leave of absence
granted during covered em-
ployment while receiving
FEC benefits.
Includes civilian employment
with District of Columbia
government.
Provides for direct transfer to
FSR fund of all regular con-
tributions (with interest)
made by officer or employee
to other Government re-
tirerhent system under
which previously covered.
Funds transfer discharges
other system of all benefit
obligations based on service
involved.
Recomputation of annuity of
an officer recalled In the
Service and retired a second
time.
Provides that reemployed
Foreign Service annuitants
receive full salary of the
position appointed plus por-
tion of their annuity which
when added to the salary
would equal the base salary
received at time of retire-
ment from the Foreign Serv-
fee.
(4)
Section
(5)
Comments
FSR provides payment of de-
ferred annuity at age 60.
FSR alines precedence provi-
sions with those of CSR.
At present persons becoming
participants in FSR system
may purchase prior service
credit by making a special
contribution to FSR fund
for such amount of service
credit as they elect to pur-
chase. The new provision
provides for the automatic
transfer of contributions in
another Government system
to the FSR fund when a
person becomes a participant
in the FSR system by trans.
far from other Government
service.
FSR provides for potential
higher combined income for
reemployed Foreign Service
annuitants and provides au-
thority to reemploy FBO
retired for age.
Approved For Release 2002/03/28 : CIA-RDP78-03721A000500040033-5