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Department of Veterans Affairs

Retirement Guidance for VA Employees

For VA clinical and administrative staff — including Title 38, hybrid, and pure FERS positions — these are the planning questions we hear most often.

Common Pain Points for VA Employees

  • Understanding Title 38 hybrid retirement rules vs. pure FERS
  • Factoring Physician Pay and Special Salary Rates into your high-3
  • Coordinating retirement with healthcare eligibility
  • Using TSP catch-up contributions in the final years before retirement
  • Evaluating private-practice transitions alongside TSP strategy

How We Help VA Employees

Title 38 Hybrid — Key Concepts

Title 38 and hybrid positions have different leave, retirement, and compensation rules than pure FERS. Knowing which category your position falls under is the first step in any planning conversation.

High-3 Salary

Your FERS annuity uses the highest average basic pay over any 3 consecutive years of creditable service. Market pay, special salary rates, and locality typically count; bonuses generally don't.

Transitions To or From Private Practice

Changing between VA employment and private practice has tax, pension, and benefit continuation implications worth understanding before making the move.

Questions VA Employees Ask

How is my high-3 calculated if my pay varies?

Your high-3 is the highest average basic pay over any 3 consecutive years of creditable service. Market pay, special salary rates, and locality typically count; bonuses generally do not.

Do I keep VA healthcare after I retire?

VA civilian employees don't receive VA healthcare as an employment benefit. If eligible, you can continue FEHB, which coordinates with Medicare at 65.

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