Federal Employee Benefits Flashcards

The Federal Employees Retirement System (FERS) provides benefits from three distinct sources. Which of the following correctly lists these three components?

Answer: Basic Benefit Plan, Social Security, and Thrift Savings Plan (TSP)

The Federal Employees Retirement System (FERS) is a three-tiered retirement plan consisting of the FERS Basic Benefit Plan (a defined-benefit pension), Social Security, and the Thrift Savings Plan (TSP), which is a defined-contribution plan similar to a private sector 401(k).

A newly hired federal employee is eligible for the Federal Employees Health Benefits (FEHB) Program but does not enroll immediately upon starting their job. According to OPM guidelines, what is the standard timeframe the employee has from their entry on duty date to elect FEHB coverage?

Answer: 60 days

A newly eligible federal employee has a 60-day window from the effective date of their appointment (entry on duty) to enroll in an FEHB plan. If they miss this window, they must typically wait for a Qualifying Life Event (QLE) or the next annual Open Season to enroll.

Unless an eligible new employee actively waives coverage, they are automatically enrolled in which Federal Employees' Group Life Insurance (FEGLI) option?

Answer: Basic Life Insurance

Eligible new federal employees are automatically enrolled in Basic Life Insurance under the FEGLI program. This coverage is equal to their annual basic pay, rounded up to the next $1,000, plus an additional $2,000. All other forms of coverage (Options A, B, and C) are optional and require an employee to actively elect them.

A FERS employee wants to maximize the government's contributions to their Thrift Savings Plan (TSP) account. What is the minimum percentage of their basic pay they must contribute each pay period to receive the full government match?

Answer: 5%

To receive the maximum government contribution, a FERS employee must contribute at least 5% of their basic pay. The government automatically contributes 1% (Agency Automatic Contribution) and then matches employee contributions dollar-for-dollar on the first 3% and fifty cents on the dollar for the next 2%. This results in a total government contribution of 5% when the employee contributes 5%.

Which of the following statements is true regarding the Federal Employees Dental and Vision Insurance Program (FEDVIP)?

Answer: Employees pay the full premium for their chosen FEDVIP plan.

Unlike the FEHB program where the government subsidizes a large portion of the premium, with FEDVIP, employees are responsible for paying 100% of the premium cost. However, employees do benefit from group rates and the ability to pay premiums with pre-tax dollars.

A federal employee needs to take time off to care for a parent with a newly diagnosed serious health condition. Under the federal leave program, what is the maximum amount of accrued sick leave the employee can typically use for this purpose in a leave year?

Answer: Up to 480 hours (12 weeks)

Federal employees can use up to 12 weeks (480 hours for a full-time employee) of their accrued sick leave each leave year to care for a family member with a serious health condition. This is a separate and larger entitlement than the 104 hours (13 days) allowed for general family care or bereavement.