Health Care Reform: Safe Harbor for Determining Full-Time Employee Status. New guidance has been issued on two requirements under the Patient Protection and Affordable Care Act (the Act) that will become effective in 2014.
Early retirement benefits will continue to be available at age 62, but they will be reduced more. When the full-benefit age reaches 67, benefits taken at age 62 will be reduced to 70 percent of the full benefit and benefits first taken at age 65 will be reduced to 86.7 percent of the full benefit.
When that happens, you can retire at age 50 with 20 years of service or at any age with 25 years of service. The additional good news is that the age reduction penalty is waived if you elect to leave or are forced out during a period when your agency is making retirement offers.