Federal Employees’ Retirement System Act of 1986

The document discusses key provisions and information regarding a new retirement system for federal employees, postal employees, and Members of Congress. The Federal Employees' Retirement System Act of 1986 establishes a fully funded and financially sound retirement benefits plan to ensure portability of retirement assets and provide options for retirement planning. Annuities are computed based on average pay multiplied by total service, with certain exceptions. Eligibility for an annuity requires at least 5 years of civilian service creditable under section 8411. The document also addresses survivor reductions, alternative forms of annuities, annuity supplements, deductions from pay and contributions for military service, and tax treatment of the Thrift Savings Fund.