You've spent years building toward this moment. The paperwork mountain between you and your first pension check is real — but it's navigable. This checklist walks every federal employee through the 15 steps from your separation notice to the day OPM deposits your FERS pension, in the right sequence.

Start early. Most of these steps should begin 12–24 months before your target retirement date, not 30 days out.

Step 1: Verify Your FERS Service Computation Date (SCD)

Your SCD determines both your eligibility and your annuity calculation. Log into Employee Express or your HR system and confirm your Civilian SCD reflects all creditable service — including any military buyback, prior federal employment, or leave without pay (LWOP) adjustments.

What can go wrong: Missing military service, uncredited leave, or prior federal employment gaps that HR never reconciled. Catch this now — correcting it after separation can take months and delays your first check.

Action: Request an official service history printout from your HR office. Cross-check it against your SF-50s. If anything is missing, file the correction while you're still an employee — HR moves faster for active employees than separated ones.

Step 2: Get a Personalized FERS Pension Estimate

Your high-3 average salary × years of creditable service × 1% (or 1.1% if you retire at 62+ with 20+ years) = your annual FERS base annuity. But the calculation has nuances: part-time service reduces your computation, LWOP over 6 months in a year reduces both service credit and high-3.

Use the tool: Run your numbers through the FERS Pension Calculator to see your projected monthly benefit under different retirement date scenarios. The difference between retiring at 62 vs. 60 can be $200–$400/month in pension income for the rest of your life — worth knowing now.

Action: Calculate your high-3 by averaging your highest 36 consecutive months of basic pay (typically your last 3 years). Include locality pay and any premium pay that's part of your base salary.

Step 3: Decide Your Survivor Benefit Election

This is the most consequential and irreversible decision you make at retirement. Your default is full survivor benefit (50% of your annuity to your spouse), which costs you 10% of your annuity. You can elect partial (25%, costing 5%) or no survivor benefit — but no survivor benefit means your spouse loses FEHB coverage if you die first.

The math most federal employees miss: A full survivor benefit costs ~$300/month on a $3,000 annuity. If you die at 75 after retiring at 62, that's 13 years × $3,600/year = $46,800 in premiums paid. Your spouse then receives $1,500/month for however long they live. Most financial planners find the survivor benefit actuarially favorable compared to term life insurance as a substitute.

Read more: Our in-depth FERS Survivor Benefit Election Analysis walks through the break-even math and the scenarios where partial or no survivor benefit makes sense.

Action: Compare survivor benefit cost vs. private life insurance quotes. Discuss with your spouse. Document your decision and the reasoning. This is not a default you want to leave on autopilot.

Step 4: Make Your TSP Withdrawal Strategy Decision

TSP is likely your largest retirement asset. By retirement, you face a fundamental choice: leave money in TSP (low fees, stable value fund access), roll it to an IRA, purchase a TSP annuity through MetLife, or some combination.

The annuity decision matters most: TSP's MetLife annuity locks in a rate that typically runs 1–2 percentage points below commercial single premium immediate annuities (SPIAs). On a $400,000 balance, that gap is $4,000–$8,000 in annual income. See the full comparison in our analysis of TSP Annuity vs. Commercial SPIA.

Use the tool: Run your TSP balance through the Annuity Calculator and compare the TSP MetLife rates vs. commercial options.

Action: Don't default to the TSP annuity because it's easy. Do the math. Compare 3–5 commercial SPIA quotes against the TSP rate. The decision has 30-year income implications.

Step 5: Evaluate Your FEHB Health Insurance Options

FEHB is one of the most valuable federal retirement benefits — you can keep it in retirement if you've been continuously enrolled for the 5 years immediately before retirement (or since your first opportunity to enroll). Your agency pays roughly 72% of the premium even in retirement.

The Medicare coordination question: At 65, you'll face the FEHB-vs-Medicare decision. Most federal retirees keep FEHB as primary and decline Medicare Part B (saving ~$185/month in premiums) — but the right answer depends on your specific plan, healthcare utilization, and whether you travel internationally.

Read more: Our guide to Federal Retirement Health Insurance Options covers every FEHB + Medicare coordination scenario.

Use the tool: The Medicare Coverage Comparison tool walks through the coordination scenarios for your situation.

Action: Check your FEHB enrollment continuity now — before you separate. If you've had gaps, you cannot carry coverage into retirement. Review your plan's coordination-of-benefits rules with Medicare.

Step 6: Plan Your Social Security Timing

FERS employees who paid into Social Security during their federal career earn SS credits. But the timing of when you claim matters enormously.

The WEP and GPO traps: If you have a non-covered pension (CSRS), the Windfall Elimination Provision (WEP) reduces your Social Security benefit. The Government Pension Offset (GPO) can eliminate your spousal or survivor SS benefit. These are major dollar amounts — confirm your situation before assuming you'll get the full SS benefit you see on your statement.

The 62 vs. FRA vs. 70 math: Claiming at 62 reduces your benefit 25–30%. Waiting until 70 increases it 24–32% above FRA. With a FERS pension plus TSP income, you have flexibility — you don't need SS immediately. For most healthy federal retirees, delaying to 70 adds $150,000+ in lifetime benefits.

Use the tool: The Social Security Optimizer calculates your break-even age, lifetime benefit at each claiming age, and spousal benefit scenarios.

Action: Get your Social Security Statement at SSA.gov. Plug your numbers into the SS Optimizer. Don't make a default decision — this is a 30-year income optimization.

Step 7: Consider TSP Roth Conversion Strategy

The period between retirement and when you start Social Security is often a low-income window — your FERS pension may be modest, your TSP withdrawals are discretionary, and your marginal tax rate is lower than it was during peak earning years. This window is ideal for Roth conversions.

The logic: Convert traditional TSP/IRA dollars to Roth during years when your marginal rate is 22% or lower, before Social Security income and Required Minimum Distributions (RMDs starting at age 73) push you into higher brackets.

Read more: See the Roth conversion analysis in our TSP strategy guide.

Action: Model your estimated AGI from retirement through age 73. Identify the bracket headroom available each year. This is worth $20,000–$80,000 in lifetime tax savings for most federal retirees — do it intentionally, not by accident.

Step 8: Submit Your OPM Retirement Application (SF-3107)

The OPM application — Standard Form 3107 — is the official paperwork that triggers your pension. Submit it through your HR office at least 60–90 days before your retirement date, ideally 3–6 months out if you're in a large agency with a backlog.

What's in the package:

  • SF-3107 (main application)
  • SF-3107-A (Schedule A — unpaid compensation and payment of contributions)
  • SF-3107-B (Schedule B — designation of beneficiary for lump-sum credit)
  • Survivor benefit election (and spouse's notarized consent if electing less than full benefit)
  • Life insurance election form (FEGLI SF-2819)
  • Direct deposit form (SF-1199A)
  • Copy of marriage certificate (if electing survivor benefit)

Action: Get the complete SF-3107 package from your HR office or OPM.gov. Start assembling it now — gathering spousal notarization and marriage certificates takes time.

Step 9: Understand the OPM Processing Timeline and Interim Pay

Here's what almost no one tells federal employees before they retire: OPM typically takes 60–120 days to process your retirement and issue your first full pension check. During that period, you receive "interim pay" — approximately 80–85% of your estimated annuity, without any deductions for FEHB premiums, life insurance, or survivor benefit costs.

What this means for your cash flow: Your first real paycheck comes 2–4 months after retirement. You need 3–4 months of liquid reserves to cover the gap between interim pay and your full annuity — plus the catch-up FEHB premium deductions that accumulate during interim pay and get deducted from your first full check.

Read more: Our analysis of OPM Retirement Processing Delays in 2026 covers the current backlog, what's causing it, and how to avoid common filing errors that add months.

Action: Build a 4-month cash cushion before you retire. Track your interim pay letters from OPM. Understand that your first full check will be lower than expected because of accumulated FEHB/FEGLI deductions — this is not an error.

Step 10: Make Your Life Insurance (FEGLI) Election

Federal Employee Group Life Insurance can be carried into retirement, but the coverage options and costs change dramatically. Basic FEGLI is free to keep (no premiums) but reduces to 25% of face value by age 65 at the free option level. Optional coverage (Options A, B, C) has premiums that escalate sharply after 65.

The decision framework: Most financial planners find FEGLI's post-retirement cost-benefit unfavorable compared to private term insurance if you're in good health. But if you have health issues that make private coverage expensive or unavailable, keeping FEGLI is often the right call.

Action: Compare your FEGLI continuation options against private term life quotes. Make the election before your retirement date — you cannot restore FEGLI coverage you cancel at retirement.

Step 11: Finalize Your TSP Beneficiary Designations

Your TSP beneficiary designations are separate from your estate documents. If you die before completing TSP withdrawals, the beneficiary designation on file with TSP governs — not your will.

Common mistake: Federal employees update their will but forget to update TSP designations after divorce, death of a spouse, or family changes. TSP will pay the designated beneficiary — even if your will says something different.

Action: Log into My.TSP.gov and review your beneficiary designations. Update them if your life circumstances have changed. Do this every 3–5 years as a matter of habit.

Step 12: Complete Your TSP Withdrawal Elections

After separation, you have time before you must take TSP withdrawals (RMDs start at 73). But you need to actively decide your TSP distribution strategy — or TSP will eventually force required distributions.

Your options:

  • Partial withdrawal: Take a single lump sum while leaving the rest invested
  • Full withdrawal: Lump sum, series of monthly payments, life annuity, or combination
  • Leave it: Leave in TSP and let it grow (still subject to RMDs at 73)
  • Roll over to IRA: Gives more investment flexibility, but loses TSP's ultra-low expense ratios

Use the tool: The Annuity Calculator compares TSP annuity payouts vs. commercial SPIA options for your balance and age.

Step 13: File for Social Security (When Ready)

You cannot file for Social Security retirement benefits more than 4 months before you want them to start. But you should set up your My Social Security account at SSA.gov well before then — it takes time to verify your earnings record and you'll want to catch any errors early.

Filing online is fastest: SSA.gov/retire. Have your Social Security number, birth certificate information, marriage information (if filing for spousal benefits), bank routing/account number for direct deposit, and your W-2s or self-employment tax returns for the most recent year.

Action: Create your My Social Security account now. Review your earnings record for accuracy — errors in your earnings record reduce your benefit permanently unless corrected. File 3–4 months before your desired start month.

Step 14: Enroll in Medicare Part A (and Decide on Part B)

Medicare Part A (hospital coverage) is free for most federal retirees and you should enroll at 65 even if you're keeping FEHB. Medicare Part B (~$185/month in 2026) is the decision — most federal retirees with FEHB as primary coverage find Part B adds little marginal value until FEHB becomes their secondary coverage.

The enrollment window: You have a 7-month Initial Enrollment Period around your 65th birthday. Missing it causes a 10% permanent premium penalty for each 12-month period you were eligible but didn't enroll.

Use the tool: The Medicare Coverage Comparison tool models the FEHB + Medicare coordination scenarios for your specific plan.

Action: Enroll in Part A at 65 — it's free and there's no reason to wait. Make the Part B decision based on your specific FEHB plan's coordination rules and your healthcare utilization.

Step 15: Set Up Your Retirement Income Dashboard

Once your pension, Social Security, and TSP distributions are flowing, build a simple income tracking system. Your retirement income has more moving parts than a paycheck — FERS pension (fixed but COLA-adjusted), Social Security (COLA-adjusted), TSP withdrawals (variable), and any other income.

The COLA calculation: FERS pension gets a partial COLA — it's 1% less than the full Social Security COLA when inflation is above 3%. In a year with 4% CPI, FERS retirees get 3% COLA while Social Security recipients get 4%. This gap compounds over decades — plan for it.

Use the tool: The Federal Retire Stack gives you a unified view of your FERS pension projection, TSP strategy, Social Security timing, and healthcare cost modeling in one place. Run your full retirement picture before you sign the final paperwork.

Frequently Asked Questions

How long does OPM take to process a federal retirement application? OPM currently takes 60–120 days to process most retirement applications and issue the first full annuity payment. During this period, you'll receive interim pay at approximately 80–85% of your estimated annuity. Complex cases — high-3 disputes, military service credit issues, disability retirements — can take 6–12 months. Submitting a complete, error-free application significantly reduces processing time.

What is the FERS high-3 average salary calculation? Your high-3 is your highest 36 consecutive months of basic pay, averaged. For most federal employees, this is their final 3 years. "Basic pay" includes locality pay but excludes overtime, bonuses, cash awards, and allowances. The high-3 is multiplied by your years of creditable service and the FERS multiplier (1% or 1.1% if you retire at 62+ with 20+ years).

Can I keep FEHB health insurance in retirement? Yes, if you've been continuously enrolled in FEHB for the 5 years immediately before your retirement date (or since your first opportunity to enroll if that's less than 5 years). Your agency continues to pay approximately 72% of your FEHB premium in retirement. You must carry FEHB at the moment of retirement — you cannot re-enroll after retirement.

What happens to my TSP if I die before withdrawing everything? Your TSP beneficiary designation controls — not your will. Your surviving spouse has the option to keep the funds in TSP under a beneficiary participant account. Other beneficiaries must take the full distribution. If you have no beneficiary on file, TSP distributes according to a statutory order: spouse, children equally, parents equally, estate. Update your TSP beneficiary at My.TSP.gov after any major life event.

Should I buy the TSP annuity or a commercial SPIA? For most federal retirees, commercial SPIAs from highly-rated insurers offer 1–2% higher annual payout rates than TSP's MetLife annuity option. On a $400,000 balance, that's $4,000–$8,000 more per year in guaranteed lifetime income. The TSP annuity's main advantage is simplicity. See the full analysis in our TSP Annuity vs. Commercial SPIA comparison, and run your numbers through the Annuity Calculator.

What is the FERS Supplement and when do I get it? The FERS Supplement (also called the Special Retirement Supplement) is paid to FERS employees who retire before age 62 with an immediate, unreduced annuity. It approximates the Social Security benefit you earned from your FERS-covered service, paid from retirement until you reach 62. It's subject to an earnings test — if you earn more than $22,320/year from wages (2026 limit), the supplement is reduced $1 for every $2 over the limit.

What documents do I need to submit my OPM retirement application? The core package: SF-3107 (main application), SF-3107-A, SF-3107-B (beneficiary for lump-sum credit), survivor benefit election with your spouse's notarized consent if electing less than full benefit, FEGLI election (SF-2819), direct deposit form (SF-1199A), marriage certificate if applicable, and DD-214 if claiming military service credit. Your HR office will have the complete checklist for your specific situation.