How is the pension fund set up for Congress when they retire and do they have to work 20 years?

Question

How is the pension fund set up for Congress when they retire and do they have to work 20 years?

Answer 1

It basicly works like a 401K plan.

It is the exact same plan, all Federal Employees have.

You can retire and collect a pension with 25 years service.

If you serve 20 years, you can collect your pension at age 55.

If you served less than 20 years, you must wait untill you are 62 yrs old.

You must have 5 years service, to be vested in the pension.

The pension amount, is dependent on how many years service you have.

With a maximum pension of 80% of salary for 32 yrs service.

They recieve 2.5% per yr of service.

So the lowest pension is 12.5% for 5 years service.