What Is The Retirement Plan For A Congressman? 
Before 1984 , Members of Congress received pensions that were based upon the Civil Service Retirement System . This is the same system used by other Federal employees . Members of Congress did not participate in the Social Security system . They were not eligible for social security benefits based upon their pay as Members of Congress . In 1983 Members of Congress and other federal employees , who were first hired after 1983 , were integrated into the Social Security System . Starting in 1984 all Members of Congress started participating in the Social Security System regardless of when they first entered Congress . Only those on the federal payroll prior to 1984 continue to participate in the Civil Service Retirement System . New Members of Congress since 1984 have participated in both Social Security and a new retirement program called the Federal Employees Retirement System . A Member of Congress can decline coverage in this program . Members elected prior to 1984 had the option of remaining on the Civil Service Retirement System or opting for the new Federal Employees Retirement System . The Civil Service Retirement program was not designed to be integrated with Social Security . The contributions and benefits from this program are much higher . When these benefits are combined with Social Security they can become substantial . Members of Congress can be covered under one of four different programs : 1 . Full coverage under Social Security and the old Civil Service Retirement System . 2 . An offset plan which includes both Social Security and the Civil Service Retirement System but the amount contributed to the CSRS is reduced by the amount paid into Social Security . 3 . The Federal Retirement System and Social Security 4 . Social Security alone . The pensions for Members of Congress are financed through a combination of contributions from the Congressman and from the Federal Governmenttheir employer . When they pay Social Security payroll taxes they pay the standard 6.2 % required of other employees . If they remained in the Civil Service Retirement System they pay an additional 7 % of their pay . If they opted for the Federal Retirement System they pay an additional .8 % of their pay . When they retire a Member of Congress can receive benefits in much the same way other federal employees do . They can file for and receive benefits under Social Security and they can apply for benefits under the retirement program they have adopted . The retirement benefit itself is based upon reaching at least age 62 and is a function of years of service and income in the highest three years of covered salary . The benefit generated under the Civil Service Retirement System is much greater than the benefit under the Federal Retirement System . By law , the benefit paid to a Member of Congress can not exceed eighty percent of the final pay of the Member of Congress . There are around 500 Members of Congress drawing pensions today . Their average pension in 2006 was under $ 35,000 . Members of Congress who elect an immediate annuity can also maintain the health insurance that they had as federal employees . Members of Congress that elect the FERS program are also eligible for a thrift savings program in which contributions are matched to a certain level . 