04/14/2026
Every year I learn something new. I did not know about this benefit.
Peace Corps service can be credited toward federal retirement (FERS or CSRS) by "buying back" the time, which involves making a deposit of 3% (FERS) or 7% (CSRS) of the stipend received, plus interest after a two-year grace period. This service counts towards vesting and increases the annuity calculation, though training periods are typically excluded.
You can buy back military service time for federal retirement (FERS/CSRS) to increase your annuity, usually costing 3% of your military base pay plus interest.
Federal Agencies (FERS/CSRS): Almost all federal agencies allow this under the Office of Personnel Management (OPM) regulations. This includes the USPS, DoD, and other civil service departments.CalPERS (California Public Employees' Retirement System): Covers state of California employees, school districts, and many local city/county employees in California.
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