Federal Employees' Retirement System: Budget and Trust Fund Issues [June 13, 2013] [open pdf - 316KB]
"Most of the civilian federal workforce is covered by one of two retirement systems: (1) the Civil Service Retirement System (CSRS) for individuals hired before 1984; or (2) the Federal Employees' Retirement System (FERS) for individuals hired in 1984 or later. FERS annuities are fully funded by the sum of employee and employer contributions and interest earned by the Treasury bonds held by the Civil Service Retirement and Disability Fund (CSRDF). The federal government makes supplemental payments into the CSRDF on behalf of employees covered by the CSRS because employee and agency contributions and interest earnings do not meet the full cost of the benefits earned by employees covered by that system. The Office of Personnel Management (OPM) estimated that in FY2013, obligations from the CSRDF would total $77.7 billion, of which $77.4 billion will represent annuity payments to retirees and survivors. Other outlays consist of refunds, payments to estates, and administrative expenses. Obligations from the fund are projected to increase by 4.6% to $81.3 billion in 2014, of which $80.9 billion will represent annuity payments. OPM estimated that receipts to the CSRDF from all sources would be $93.2 billion in 2013 and $93.3 billion in 2014. The year-end balance of the CSRDF was projected to increase from $832.6 billion at the end of 2013 to $840.2 billion at the end of 2014."
CRS Report for Congress, RL30023