Can a 401(k) Contribution Save Your FERS Supplement?
About this episode
This episode discusses how 401(k) contributions may affect the FERS Special Retirement Supplement and the implications of the earnings test on retirement income.
Can contributing to a 401(k) help protect your FERS Special Retirement Supplement? Many people assume this, but the rules don't always work the way federal employees expect. In this FERS Federal Fact Check, Micah Shilanski, Managing Partner and Wealth Advisor, answers a listener's question and walks you through how the earnings test applies to your supplement and why certain strategies, like increasing 401(k) contributions, may not reduce the impact. Working after retirement may reduce your supplement depending on your earnings. Understanding how income is measured can help you avoid unexpected changes to your retirement income. Tune in and find out: - How the FERS Special Retirement Supplement works - What the earnings test is and how it applies - Why 401(k) contributions don't reduce counted income - What types of income are included (and excluded) - Planning considerations if you expect to work in retirement 👉 Learn more and read the full breakdown here: Have a retirement question on your mind? Give us a call at 907-931-1775 and leave us your question - we're here to help create solutions that fit your goals! ➡️We have had hundreds of federal employees ask us to discuss the…
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