Section 16.28 Civil Employees

• Library: Family Law Deskbook and 2014 Supp

a. (§16.28) Civil Employees

Civil employees of the United States government
are automatically covered by the FERS (Federal Employees’ Retirement System), which became effective January 1, 1987. 5 U.S.C. §§ 8401 et seq. Civil employees hired before January 1, 1987, were covered by the CSRS (Civil Service Retirement System), 5 U.S.C. §§ 8331 et seq., and continued to be covered by the CSRS unless the employee elected to transfer participation into the FERS. The FERS is a three-tiered retirement plan consisting of:

· Social Security benefits (5 U.S.C. § 8349);

· the Basic Benefit Plan; and

· the Thrift Savings Plan (5 U.S.C. § 8351).

Although the retirement benefits provided to civil employees of the United States were not intended to be subject to the QDRO rules promulgated in the REA, the United States Congress enacted a similar scheme with reference to federal employees in the civil sector in the Civil Service Retirement Spouse Equity Act of 1984, Pub. L. No. 98-615, 98 Stat. 3195. The civil service equivalents to I.R.C. § 414(p) are 5 U.S.C. § 8345(j), with respect to apportionment of CSRS employee annuities, and 5 U.S.C. § 8467, with respect to apportionment of FERS employee annuities. In addition to apportionment orders, the spouse of a United States civil service employee is also entitled to designation as surviving spouse (5 U.S.C. § 8341(h)(1) for CSRS and 5 U.S.C. § 8441 for FERS) and is entitled to share in cost-of-living increases...