Federal Employees Retirement System (FERS)

The Federal Employees Retirement System (FERS) is a retirement plan for U.S. federal government employees. Established in 1986, it has three main components: a basic pension based on years of service and salary, Social Security benefits, and a Thrift Savings Plan (TSP) which is a voluntary savings plan similar to a 401(k). Employees contribute to the TSP, and the government may match some contributions. FERS aims to provide financial security for federal workers in retirement, combining guaranteed income from pensions and flexible savings options to help them meet their future needs.