A “perfect storm” for retirement processing is brewing at the Office of Personnel Management (OPM). The massive, anticipated wave of separations from the “deferred resignation” program has now hit OPM, colliding with the administrative chaos and freeze caused by the recent, historic government shutdown. As reported by FEDweek, this dual pressure is causing the backlog of retirement applications to surge, threatening new retirees with significant delays in receiving their first full annuity payments.
📈 The Numbers Behind the Backlog
This is not a minor administrative delay; it’s a processing logjam. Here’s the data:
- The Initial Surge: Even before the government shutdown (which ended November 12), OPM’s retirement backlog had already swelled by nearly 50% in October, climbing to 34,600 pending cases.
- The Shutdown Freeze: The shutdown (which lasted over 40 days) forced OPM to halt nearly all retirement processing, adding tens of thousands of new applications to an already unmanageable pile.
- The Cause: This was all triggered by the end of the “deferred resignation” program, which saw over 150,000 employees accept offers to leave, with most separations clustered around the end of the fiscal year.
What does this mean for you? It means OPM staff are returning to their desks to find a mountain of paperwork. Processing times, which are often 60-90 days in a normal environment, are now expected to stretch for many months.
💸 Why a Flawless Application Is Your Only Defense
In this high-stakes environment, new retirees face a serious financial risk. A simple clerical error on your complex retirement application—a missed signature, an incorrect service date, or a mistake on your survivor benefit election—will get your file flagged and sent to the “error pile.” This could move you from the back of the line to a separate, even slower queue, potentially delaying your first full annuity payment by six months or more.
During this delay, you will likely receive small “interim” or “partial” payments, which are often only 60-70% of your estimated annuity and do not include supplements. For many, this is not enough to cover monthly living expenses.
You cannot control the backlog at OPM. You can control the quality of your application.
🧭 Navigate the Logjam with Expert Guidance
This is precisely where the specialized expertise of Internal Benefit Advisors becomes the most critical part of your retirement plan. Their entire focus is on helping federal employees navigate this complex system and avoid costly mistakes.
Here’s how they provide immediate, critical value:
- Expert Paperwork Review: They specialize in reviewing your complex federal retirement application (SF 3107 for FERS or SF 2801 for CSRS) to catch common and costly errors before you submit it to OPM.
- Comprehensive Retirement Strategy: They ensure all your elections—from your survivor benefits and FEHB (health insurance) continuation to your FEGLI (life insurance) options—are correctly documented and optimized for your goals.
- Holistic Financial Planning: They integrate your pension timeline with your TSP withdrawal strategy and Social Security, so you have a complete financial picture, even if your full annuity is delayed.
- Empowerment Through Education: They provide clear, unbiased education to demystify the complex federal retirement process, giving you confidence that your transition will be as smooth as possible.
Don’t let a simple, avoidable error on a form jeopardize your financial security for months. Ensure your application is perfect the first time.
Take the definitive step to protect your retirement income. Contact Internal Benefit Advisors today for a confidential consultation and application review.
References
- FEDweek. “Backlog of Retirement Applications Builds as Surge from Deferred Resignations Hits OPM.”
- FEDweek. “Bill Signed to Reopen Agencies, Provide Back Pay and Cancel Shutdown RIFs.” (for shutdown/backlog context)
- U.S. Office of Personnel Management. Retirement Services.
Internal Benefit Advisors. Retrieved from https://internalbenefitadvisors.com
