FERS disability retirement: who qualifies and how the benefit is figured

FERS disability retirement pays a pension to employees with at least 18 months of federal civilian service who can no longer do useful work in their position because of a condition expected to last a year or more. Under 62, the first year pays 60 percent of high-3 and later years 40 percent, minus part of any Social Security disability benefit.

Nobody plans to need this page. If you are reading it, you or someone close to you may be facing a health condition that is changing what work looks like. That is a hard place to be, and the paperwork does not make it easier. The good news is that the rules, once laid out, follow a clear order.

Think of FERS disability retirement as a safety net strung under the regular pension. It catches you if a medical condition ends your federal career early, pays a set share of your salary while you are younger, and then, at 62, lowers you back onto the regular pension, with the years in between counted as if you had kept working. This guide explains who qualifies, how the benefit is figured, how it interacts with Social Security, and what keeps it in place.

01Who qualifies for FERS disability retirement?

You qualify for FERS disability retirement if you have at least 18 months of creditable civilian service under FERS, a medical condition that prevents useful and efficient service in your current position, and a condition expected to last at least one year from the date you apply (OPM, retrieved 2026-10-11). Your agency must also certify that it cannot accommodate you.

Service. At least 18 months of creditable FERS civilian service.
Medical condition. The condition keeps you from useful and efficient service in your position, whether the duties are physical or mental.
Duration. The disability is expected to last at least one year from the application date.
No accommodation. Your agency certifies it cannot reasonably accommodate the condition in your position.
No reassignment. You have not declined an offer of a vacant position at the same grade or pay level, in the same commuting area and agency, that you are qualified for.
Timing. The condition arose while you were in a position covered by FERS.

The standard is about your federal position, not any job anywhere. That is different from Social Security disability, which asks whether you can do substantial work of any kind. A person can qualify for FERS disability retirement and not qualify for Social Security disability, and the reverse can happen too.

02How do you apply for FERS disability retirement?

You apply through your agency's human resources office if you are still employed, or directly to OPM if you have already separated, and OPM or your former agency must receive the application within one year of your separation (OPM, retrieved 2026-10-11).

01
Gather medical evidence
Your physician's statement should describe the condition, its history, how it affects specific duties, and how long it is expected to last.
02
Complete SF 3107 and SF 3112
SF 3107 is the FERS retirement application. SF 3112 is the disability package, with parts for you, your supervisor, your physician and your agency.
03
Apply for Social Security disability
If you are under 62, OPM requires proof that you applied for Social Security disability benefits (OPM, retrieved 2026-10-11).
04
Submit through the right door
Current employees file through HR. Former employees file with OPM.
05
Watch the one-year deadline
OPM can waive it only if you were mentally incompetent during that period.
06
Respond quickly to OPM
If OPM asks for more medical information, answer promptly; gaps slow decisions.

The Social Security step is not optional. If your Social Security disability application is withdrawn for any reason, OPM dismisses the FERS disability retirement application when it learns of the withdrawal (OPM, retrieved 2026-10-11). You do not have to be approved for Social Security disability to receive FERS disability retirement; you do have to apply.

If you have already retired on an immediate annuity, OPM allows a switch to disability retirement within one year after separation under certain conditions (OPM, retrieved 2026-10-11). The retirement application guide covers the forms in more detail.

03How is the FERS disability annuity calculated?

The disability annuity depends on your age and whether you could already retire voluntarily. If you are 62 or older, or already eligible for an immediate voluntary retirement, OPM uses the regular FERS formula. If you are under 62 and not yet eligible, a special formula applies (OPM, retrieved 2026-10-11).

Period	What OPM pays	Social Security offset
First 12 months	60% of high-3	Minus 100% of any Social Security benefit you receive that month
After 12 months, until 62	40% of high-3	Minus 60% of any Social Security disability benefit
At 62 and after	Recomputed with the regular formula	No offset
Either period, if larger	Your earned annuity (high-3 x service x 1%)	Not applicable

Source: U.S. Office of Personnel Management, FERS computation, retrieved 2026-10-11.

The last row is a floor. If the regular formula on your actual service would pay more than the disability formula, OPM pays the larger figure. That mostly matters for people with long careers.

High-3Your highest average basic pay over any three consecutive years of service, locality included.
Earned annuityWhat the regular FERS formula would pay on your actual service: high-3 x years x 1%.
Social Security offsetThe reduction OPM applies to the disability annuity when you also receive Social Security disability benefits.
Recomputation at 62The point where OPM refigures the annuity under the regular formula, counting the disability years as service.
Restored to earning capacityWhen earnings from work reach the level that ends the disability annuity.

04What is a worked example?

Here is a disability annuity figured through each stage.

In this example the disability formula pays well above the earned annuity in every stage. Without a Social Security disability award, the figures would be $42,000 and then $28,000, since there would be nothing to offset. At 62, OPM uses the 1 percent or 1.1 percent multiplier as the rules apply to your total service, and it increases the high-3 by the COLAs paid on the disability annuity along the way. This example uses 1 percent and the original high-3 for simplicity.

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Social Security disability reduces the FERS disability annuity while you are under 62: by 100 percent of the Social Security benefit in the first 12 months, and by 60 percent of the Social Security disability benefit after that (OPM, retrieved 2026-10-11). After the first year you keep 40 cents of every Social Security disability dollar on top of the reduced FERS payment.

The offset does not cancel the second check. It trims the FERS side so the two payments work together instead of stacking in full.

Two practical points follow. First, Social Security disability decisions can take longer than OPM decisions, and Social Security awards can be retroactive. If Social Security later pays back benefits for months when OPM paid you without an offset, OPM can recover the overlap, so it is wise to set aside part of any Social Security back payment until OPM has adjusted your annuity. Second, if Social Security denies your claim, the FERS annuity is paid without the offset. The Social Security guide covers how disability benefits convert to retirement benefits at full retirement age.

06Do FERS disability retirees get COLAs and keep FEHB?

FERS disability retirees receive cost-of-living adjustments, except generally during the first year while the 60 percent benefit is paid (OPM, retrieved 2026-10-11). That is an exception to the rule that regular FERS retirees under 62 receive no COLA.

Health coverage follows the usual retirement rule: you can generally carry FEHB into disability retirement if you were enrolled for the five years of service immediately before retirement, or since your first opportunity to enroll (OPM, retrieved 2026-07-05). The FEHB guide explains the five-year rule and how to check your enrollment history.

Disability retirees do not receive the FERS supplement. The supplement is paid only with certain immediate, unreduced voluntary retirements; the supplement guide lists who qualifies.

07Can you work while on FERS disability retirement?

You can work while receiving FERS disability retirement, but if you are under 60 and your income from wages or self-employment in a calendar year reaches 80 percent of the current pay of the position you left, OPM considers your earning capacity restored (OPM, retrieved 2026-10-11). The annuity then stops on June 30 of the following year (OPM, retrieved 2026-10-13).

The 80 percent test. Compare your annual earned income with 80 percent of the current rate of pay for your old position, not your old salary.
What counts. Wages, salaries and net self-employment income. Social Security and other benefits are not earned income for this test.
Annual reporting. OPM surveys disability annuitants under 60 about their income each year.
Reinstatement. If your income later falls below 80 percent and you have not recovered medically, you can ask OPM to reinstate the annuity, with a current medical report (OPM, retrieved 2026-10-11).
Medical recovery. OPM can also ask for updated medical evidence, and a full medical recovery before 60 can end the annuity.

Once you reach 60, the earning-capacity test generally stops applying to you, so work after 60 does not end the annuity under this rule.

08What happens to the disability annuity at 62?

At 62, OPM recomputes your annuity under the regular FERS formula, adding the years you spent on disability retirement to your service, and the new figure replaces the disability formula for life (OPM, retrieved 2026-10-11). The Social Security offset also ends, because the regular formula has none.

01
Service is extended
Time on the disability rolls is added to your creditable service.
02
The high-3 is adjusted
OPM increases the high-3 by the COLAs paid on the disability annuity.
03
The regular multiplier applies
1 percent, or 1.1 percent where the rules allow.
04
The offset ends
Social Security no longer reduces the FERS annuity.
05
Survivor elections carry over
The reduction you elected at retirement continues to apply.

The recomputed annuity can be higher or lower than what you received before 62. It depends on your service, your adjusted high-3, and whether a Social Security offset was being taken. Social Security disability benefits, if you receive them, convert to retirement benefits at full retirement age, which is later than 62 for anyone born after 1937, so the two changes do not happen at the same time. Ask OPM for an estimate of the recomputed figure before your 62nd birthday so the change is in your budget ahead of time.

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The FERS annuity guide explains the regular formula that takes over at 62, and the eligibility guide explains whether you might already qualify for a voluntary retirement, which changes how the disability annuity is figured. The FERS pension estimator can show the earned annuity on your own service.

09Moving forward with a disability retirement decision

Disability retirement asks you to make financial decisions at a time when your attention is rightly on your health. The order is simple to state: confirm you meet the 18-month and medical tests, file within a year of separating, apply for Social Security disability, and plan for the offset and the recompute at 62.

If you want representation before OPM, look for an attorney who handles federal disability retirement cases; a benefits review does not include preparing medical evidence or representing you.

FFEBA is an education organization. If you want someone to look at your own numbers, we can match you with a Federal Retirement Consultant (FRC), a professional trained on federal benefits. The FRC designation is listed with FINRA. The first review is free, nothing is booked until you choose a time, and you are never obligated to work with anyone we introduce. Get matched with an FRC.

10Questions federal employees ask

Who qualifies for FERS disability retirement?

You qualify if you have at least 18 months of creditable FERS civilian service, a medical condition that keeps you from useful and efficient service in your position, a condition expected to last at least a year, and an agency that cannot accommodate you or reassign you to a vacant position at the same grade or pay in your commuting area (OPM, retrieved 2026-10-11).

How much does FERS disability retirement pay?

If you are under 62 and not eligible for an immediate voluntary retirement, the first 12 months pay 60 percent of your high-3 minus 100 percent of any Social Security benefit, and later years pay 40 percent of high-3 minus 60 percent of any Social Security disability benefit. If your earned annuity is larger, you get that instead (OPM, retrieved 2026-10-11).

Do I have to apply for Social Security disability?

Yes. OPM requires FERS disability applicants under 62 to apply for Social Security disability benefits and to provide proof of the application. If the Social Security application is withdrawn, OPM dismisses the disability retirement application (OPM, retrieved 2026-10-11).

How long do I have to apply for FERS disability retirement?

OPM or your former agency must receive your application within one year of your separation. OPM can waive the deadline only if you were mentally incompetent during that period (OPM, retrieved 2026-10-11).

Can I work while receiving FERS disability retirement?

Yes, within limits. If you are under 60 and your earnings in a calendar year reach 80 percent of the current pay of your old position, OPM treats your earning capacity as restored and the annuity stops on June 30 of the following year (OPM, retrieved 2026-10-13).

What happens to FERS disability retirement at 62?

At 62, OPM recomputes the annuity under the regular FERS formula, counting the years you spent on disability retirement as service. The result replaces the disability formula for the rest of your life.

Reviewed by the FFEBA education team. Last reviewed October 2026.

Sources

U.S. Office of Personnel Management, FERS types of retirement (disability eligibility and filing), retrieved 2026-10-11
U.S. Office of Personnel Management, FERS computation (disability computation and COLAs), retrieved 2026-10-11
U.S. Office of Personnel Management, SF 3112 documentation in support of disability retirement, retrieved 2026-10-11
U.S. Office of Personnel Management, RI 30-9 (restoration to earning capacity, 80 percent rule), retrieved 2026-10-11
U.S. Office of Personnel Management, FEHB in retirement, retrieved 2026-07-05

Every government figure on this page carries its source and retrieval date. Worked examples are educational estimates on the assumptions shown, not a projection of any person's benefit. FFEBA is an education organization, not a financial advisor.