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2025 SSA VERA – Early Retirement Offer: What You Need to Know About The Incentive & Eligibility

USPS VERA OFFER 2025

March 1, 2025

SSA VERA – Information On Incentive & Eligibility

If you’re a Social Security Administration (SSA) employee considering early retirement, now is the time to decide. The SSA has officially opened its Voluntary Early Retirement Authority (VERA) to all employees across the agency, offering a financial incentive based on GS level for those who choose to separate and accept an early out. However, participation may be capped, and the deadline to accept the offer are among the shortest we’ve seen — so if you’re serious about taking this opportunity, you’ll need to act fast.

Below, we break down everything you need to know, including eligibility, incentive amounts, and key deadlines to help you make an informed decision.

What’s the Incentive/VSIP (Voluntary Separation Incentive Payment)?

The payments are tiered based on grade level:

  • GS-1 to GS-8: $15,000
  • GS-9 to GS-12: $20,000
  • GS-13 and above: $25,000

    • Taxes & Payouts

      • Incentive payments are subject to tax deductions, and do not count towards retirement calculations.
      • Payments will be one-time lump sum, though the exact payment date has not been officially announced, it’s likely that it will be paid shortly after separation, which would be in January of 2026.

    Who’s Eligible for the Incentive?

    All SSA employees across all components and positions may apply for the incentive if separating voluntarily through retirement or resignation. However, employees in the following categories are not eligible for incentive:

  • Reemployed annuitants
  • Employees eligible for disability retirement
  • Those with an involuntary separation decision for misconduct or poor performance
  • Anyone who previously received a VSIP from the federal government
  • Employees who received a student loan repayment benefit in the last 36 months
  • Employees who received a recruitment/relocation incentive in the last 24 months
  • Employees who received a retention incentive in the last 12 months

    • Who’s Eligible for Retirement?

    This offer is available to all SSA employees covered under both:

  • Civil Service Retirement System (CSRS)
  • Federal Employees Retirement System (FERS)

    • To qualify, employees must meet all of these criteria:

  • Be serving under a non-time-limited appointment
  • Have been continuously on SSA’s rolls for at least 30 days prior to January 17, 2025

    • AND employees must meet at least one of these service requirements:

  • Be at least 50 years old with 20 years of Federal service, OR
  • Have 25 years of Federal service at any age.
  • Have at least 5 years of creditable civilian service.

    • Retirement Exclusions:

  • Employees under a pending involuntary separation decision for misconduct or unsatisfactory performance

    • Key Deadlines

    VSIP Opt-In & Separation Deadline:

    • March 14, 2025 at Noon ET: Deadline to submit the VSIP opt-in form.
    • April 19, 2025: Employees must separate from SSA by this date to receive the incentive.

      Additional Notes:

      • Employees approved for VSIP may be placed on administrative leave through April 19, 2025.
      • If your previously scheduled retirement date is later than April 19, you’ll need to adjust it to remain eligible.

    VERA Retirement Window:

    • March 1, 2025 – December 31, 2025
    • Employees may apply for early retirement throughout the year. However, those applying later in the year may be subject to restructuring activities.
    • All eligible employees must separate by December 31, 2025.

    Why Is SSA Offering VERA & VSIP?

    SSA is undergoing a major restructuring, aiming to reduce its workforce by 7,000 employees due to budget constraints and efficiency initiatives. The agency is shifting employees from non-mission critical positions to direct-service roles such as field offices, teleservice centers, and processing centers.

    SSA has stated that if voluntary separations do not reach their target, a Reduction in Force (RIF) may take place.

    This restructuring also includes:

  • Reducing SSA’s regional structure from 10 offices to 4
  • Eliminating three SSA offices
  • Consolidating operations to prioritize customer service improvements

    • What Happens If You Don’t Take the Offer?

    Employees who decline VERA or VSIP may be:

  • Involuntarily reassigned to direct-service positions.
  • Required to undergo retraining for new workloads.
  • Subject to future workforce reductions or a potential Reduction in Force (RIF) if SSA does not reach its target workforce reduction under the VERA offer. There would be no future guarantees of other incentives or offers.

    • Need Help?

    Understanding the VERA process can be difficult, and deciding whether to take an early out (with or without incentive) is a big step. Luckily you don’t have to figure it out on your own. A Federal Benefits Specialist can help you understand your options, show you exactly what retirement looks like for you, and ensure you’ve got the best information available to make a decision that’s right for you and your future.

    Learn more about early retirement, and request VERA assistance today: https://myfedbenefitshelp.com/benefits/early-retirement/

     

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