No one enjoys thinking about their own mortality, but you need to be prepared in case the unimaginable happens. The pain of losing your spouse shouldn’t be accompanied by the frustration of trying to navigate complex federal death benefits. Today, we’ll explain the benefits your spouse is entitled to after your death.
Current Employees
If you are actively employed by the federal government at the time of your passing, your spouse could be entitled to a lump sum death benefit equal to:
- Half of your final or average salary, whichever is higher
- Plus a fixed amount (Around $42,000 in 2024)
In order to be eligible, the following requirements must be met:
- The employee must have had at least 18 months of creditable civilian service.
- You must have been married at least 9 months unless the death was due to an accident, or you have a child together.
Your spouse may also be entitled to a monthly survivor annuity if you have at least 10 years of creditable service. The amount is equal to half of the monthly annuity you would have received if you retired the day before you died. This benefit is payable for the rest of your spouse’s life.
If your surviving spouse qualifies for a Basic Employee Death Benefit or a monthly survivor annuity, they can continue federal health benefits coverage as long as you were enrolled in a self and family or self plus one plan at the time of your death.
Retired Employees
If you are a federal retiree covered by FERS, you elect the survival benefit your spouse will receive.
- Maximum: 50% of the annuitant’s unreduced annuity.
- Less than Maximum: 25% of the annuitant’s unreduced annuity.
- Other amounts are possible if a former spouse receives a portion due to a court order.
A survivor annuity ensures the surviving spouse retains Federal Employee Health Benefits (FEHB) if the annuitant was enrolled for the last five years of service.
Former Employees
If you were ineligible for immediate retirement, opted for a deferred annuity, but die before the annuity starts, your surviving spouse may receive:
- 50% of your basic annuity, if started when you would have qualified for an unreduced annuity.
- If started the day after death, the 50% annuity is actuarially reduced using Present Value Conversion Factors (available on the OPM website).
Under this option, surviving spouses cannot enroll in FEHB.
A Federal Retirement Consultant (FRC®) can provide a comprehensive benefits analysis, painting a clear picture of your benefits and what they cost you now and in retirement. This powerful tool can help you make informed decisions for a secure future.
