5 U.S.C. § 8349 — Offset relating to certain benefits under

Page 1097 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 8349 Date of 1969 Amendment note above], shall not be held or considered to continue in effect after the enactment of this Act [Oct. 20, 1969], the provisions of section 8348(g) of title 5, United States Code, as in effect imme- diately prior to such enactment.’’ INAPPLICABILITY TO BENEFITS UNDER PUB. L. 89–737 OF PROHIBITION AGAINST PAYMENT OF INCREASED ANNU- ITY BENEFIT WITHOUT COMPENSATING APPROPRIATION Section 3 of Pub. L. 89–737, Nov. 2, 1966, 80 Stat. 1164, which provided that section 8348(g) of title 5, United States Code, does not apply with respect to annuity benefits resulting from the enactment of this Act [amending sections 8114, 8331, and 8704 of this title and section 1117 of former Title 5, Executive Departments and Government Officers and Employees], was repealed by Pub. L. 90–83, § 10(b), Sept. 11, 1967, 81 Stat. 223. REDEMPTION OF OBLIGATIONS HELD PRIOR TO OCT. 4, 1961; REINVESTMENT OF PROCEEDS Pub. L. 87–350, § 1(b) Oct. 4, 1961, 75 Stat. 770, provided that all special issues in which the civil service retire- ment and disability fund was invested in accordance with subsecs. (d) and (e) of this section before Oct. 4, 1961, were to be redeemed and the moneys reinvested by the Secretary of the Treasury in equal annual amounts over the period of ten calendar years beginning with the calendar year 1962. § 8349. Offset relating to certain benefits under the Social Security Act (a)(1) Notwithstanding any other provision of this subchapter, if an individual under section 8402(b)(2) is entitled, or would on proper applica- tion be entitled, to old-age insurance benefits under title II of the Social Security Act, the an- nuity otherwise payable to such individual shall be reduced under this subsection. (2) A reduction under this subsection com- mences beginning with the first month for which the individual both— (A) is entitled to an annuity under this sub- chapter; and (B) is entitled, or would on proper applica- tion be entitled, to old-age insurance benefits under title II of the Social Security Act. (3)(A)(i) Subject to clause (ii) and subpara- graphs (B) and (C), the amount of a reduction under this subsection shall be equal to the dif- ference between— (I) the old-age insurance benefit which would be payable to the individual for the month re- ferred to in paragraph (2); and (II) the old-age insurance benefit which would be so payable, excluding all wages de- rived from Federal service of the individual, and assuming the individual were fully insured (as defined by section 214(a) of the Social Se- curity Act). (ii) For purposes of this subsection, the amount of a benefit referred to in subclause (I) or (II) of clause (i) shall be determined without regard to subsections (b) through (l) of section 203 of the Social Security Act, and without re- gard to the requirement that an application for such benefit be filed. (B) A reduction under this subsection— (i) may not exceed an amount equal to the product of— (I) the old-age insurance benefit to which the individual is entitled (or would on proper application be entitled) for the month re- ferred to in paragraph (2), determined with- out regard to subsections (b) through (l) of section 203 of the Social Security Act; and (II) a fraction, as determined under section 8421(b)(3) with respect to the individual, ex- cept that the reference to ‘‘service’’ in sub- paragraph (A) of such section shall be con- sidered to mean Federal service; and (ii) may not cause the annuity payment for an individual to be reduced below zero. (C) An amount computed under subclause (I) or (II) of subparagraph (A)(i), or under subpara- graph (B)(i)(I), for purposes of determining the amount of a reduction under this subsection shall be adjusted under section 8340 of this title. (4) A reduction under this subsection applies with respect to the annuity otherwise payable to such individual under this subchapter (other than under section 8337) for the month in- volved— (A) based on service of such individual; and (B) without regard to section 8345(j), if oth- erwise applicable. (5) The operation of the preceding paragraphs of this subsection shall not be considered for purposes of applying the provisions of the sec- ond sentence of section 215(a)(7)(B)(i) or the pro- visions of section 215(d)(5)(ii) of the Social Secu- rity Act in determining any amount under sub- clause (I) or (II) of paragraph (3)(A)(i) or para- graph (3)(B)(i)(I) for purposes of this subsection. (b)(1) Notwithstanding any other provision of this subchapter— (A) a disability annuity to which an indi- vidual described in section 8402(b)(2) is entitled under this subchapter, and (B) a survivor annuity to which a person is entitled under this subchapter based on the service of an individual described in section 8402(b)(2), shall be subject to reduction under this sub- section if that individual or person is also enti- tled (or would on proper application also be enti- tled) to any similar benefits under title II of the Social Security Act based on the wages and self- employment income of such individual described in section 8402(b)(2). (2)(A) Subject to subparagraph (B), reductions under this subsection shall be made in a manner consistent with the manner in which reductions under subsection (a) are computed and otherwise made. (B) Reductions under this subsection shall be discontinued if, or for so long as, entitlement to the similar benefits under title II of the Social Security Act (as referred to in paragraph (1)) is terminated (or, in the case of an individual who has not made proper application therefor, would be terminated). (3) For the purpose of applying section 224 of the Social Security Act to the disability insur- ance benefit used to compute the reduction under this subsection, the amount of the CSRS annuity considered shall be the amount of the CSRS annuity before application of this section. (4) The Office shall prescribe regulations to carry out this subsection. (c) For the purpose of this section, the term ‘‘Federal service’’ means service which is em- Page 1098 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 8350 ployment for the purposes of title II of the So- cial Security Act and chapter 21 of the Internal Revenue Code of 1986 by reason of the amend- ments made by section 101 of the Social Secu- rity Amendments of 1983. (d) In administering subsections (a) through (c)— (1) the terms ‘‘an individual under section 8402(b)(2)’’ and ‘‘an individual described in sec- tion 8402(b)(2)’’ shall each be considered to in- clude any individual— (A) who is subject to this subchapter as a result of any provision of law described in section 8347(o), and (B) whose employment (as described in sec- tion 8347(o)) is also employment for purposes of title II of the Social Security Act and chapter 21 of the Internal Revenue Code of 1986; and (2) the term ‘‘Federal service’’, as applied with respect to any individual to whom this section applies as a result of paragraph (1), means any employment referred to in para- graph (1)(B) performed after December 31, 1983. (Added Pub. L. 99–335, title II, § 201(b)(1), June 6, 1986, 100 Stat. 589; amended Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095; Pub. L. 100–238, title I, § 108(b)(2), Jan. 8, 1988, 101 Stat. 1748.) Editorial Notes REFERENCES IN TEXT The Social Security Act, referred to in text, is act Aug. 14, 1935, ch. 531, 49 Stat. 620. Title II of the Social Security Act is classified generally to subchapter II (§ 401 et seq.) of chapter 7 of Title 42, The Public Health and Welfare. Sections 203, 214, 215, and 224 of the Social Security Act are classified to sections 403, 414, 415, and 424a, respectively, of Title 42. For complete classifica- tion of this Act to the Code, see section 1305 of Title 42 and Tables. Chapter 21 of the Internal Revenue Code of 1986, re- ferred to in subsecs. (c) and (d)(1)(B), is classified to chapter 21 (§ 3101 et seq.) of Title 26, Internal Revenue Code. Section 101 of the Social Security Amendments of 1983 [Pub. L. 98–21], referred to in subsec. (c), amended section 3121 of Title 26 and sections 409 and 410 of Title 42, The Public Health and Welfare, and enacted provi- sions set out as notes under section 3121 of Title 26 and section 410 of Title 42. AMENDMENTS 1988—Subsec. (d). Pub. L. 100–238 added subsec. (d). 1986—Subsec. (c). Pub. L. 99–514 substituted ‘‘Internal Revenue Code of 1986’’ for ‘‘Internal Revenue Code of 1954’’. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100–238 effective Jan. 1, 1987, see section 108(b)(3) of Pub. L. 100–238, set out as a note under section 8334 of this title. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Jan. 1, 1987, see section 702(a) of Pub. L. 99–335, set out as a note under section 8401 of this title. OFFSETS TO PREVENT FULL DOUBLE COVERAGE FOR EMPLOYEES OF PARK POLICE AND SECRET SERVICE For provisions relating to offsets for prevention of full double coverage for employees of Park Police and Secret Service, see section 103(e) of Pub. L. 100–238, set out as a note under section 8334 of this title. § 8350. Retirement counseling (a) For the purposes of this section, the term ‘‘retirement counselor’’, when used with respect to an agency, means an employee of the agency who is designated by the head of the agency to furnish information on benefits under this sub- chapter and chapter 84 of this title and coun- seling services relating to such benefits to other employees of the agency. (b) The Director of the Office of Personnel Management shall establish a training program for all retirement counselors of agencies of the Federal Government. (c)(1) The training program established under subsection (b) of this section shall provide for comprehensive training in the provisions and administration of this subchapter and chapter 84 of this title, shall be designed to promote fully informed retirement decisions by employees and Members under this subchapter and individuals subject to chapter 84 of this title, and shall be revised as necessary to assure that the informa- tion furnished to retirement counselors of agen- cies under the program is current. (2) The Director shall conduct a training ses- sion under the training program at least once every 3 months. (3) Once each year, each retirement counselor of an agency shall successfully complete a train- ing session conducted under the training pro- gram. (Added Pub. L. 99–335, title II, § 205(a), June 6, 1986, 100 Stat. 592; amended Pub. L. 99–556, title II, § 202, Oct. 27, 1986, 100 Stat. 3135.) Editorial Notes AMENDMENTS 1986—Subsec. (c)(1). Pub. L. 99–556 substituted ‘‘sub- section (b)’’ for ‘‘subsection (b)(1)’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective June 6, 1986, see section 702(b)(3) of Pub. L. 99–335, set out as a note under section 8401 of this title. ENHANCING FINANCIAL LITERACY Pub. L. 108–469, § 2, Dec. 21, 2004, 118 Stat. 3892, pro- vided that: ‘‘(a) IN GENERAL.—The Federal Retirement Thrift In- vestment Board (in this section referred to as the ‘Board’) shall periodically evaluate whether the tools available to participants provide the information need- ed to understand, evaluate, and compare financial prod- ucts, services, and opportunities offered through the Thrift Savings Plan. The Board shall use these evalua- tions to improve its existing education program for Thrift Savings Plan participants. ‘‘(b) REPORT ON FINANCIAL LITERACY EFFORTS.—The Board shall annually report to the Committee on Gov- ernmental Affairs [now Committee on Homeland Secu- rity and Governmental Affairs] of the Senate and the Committee on Government Reform [now Committee on Oversight and Accountability] of the House of Rep- resentatives on its Thrift Savings Plan education ef- forts on behalf of plan participants. ‘‘(c) STRATEGY.—As part of the retirement training offered by Office of Personnel Management under sec-