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By The Retirement Atlas ยท Last verified May 29, 2026

Military service buyback for FERS

A service deposit can turn time into FERS credit. The useful question is what the payment buys inside the pension formula.

Short answer

A FERS buyback is a payment for service credit, not just paperwork.

OPM says military service after 1956 generally requires a deposit to count toward FERS annuity title or computation. OPM also says SF 3108 starts a FERS service-credit payment request, and the application process must begin while still an employee.

Start here

What you actually came to find out

Plain answers first. Sources stay below for checking details.

What does it buy?

Potential credit toward FERS eligibility, computation, or both, depending on the service type.

What does it cost?

OPM says FERS civilian deposits are generally 1.3 percent of salary plus interest. Military deposit rules use their own service trail.

Why does timing matter?

OPM says the process must begin while employed, and near-retirement requests may be handled with the retirement application.

What does the map need?

Deposit estimate, years added, high-3 pay, retirement type, pension change, and how long the pension is expected to pay.

Military service

Deposit after 1956

OPM says military service performed on or after January 1, 1957 requires a deposit to credit the service for FERS annuity purposes.

Source trail: OPM

SF 3108

Start while employed

OPM says employees apply with SF 3108 and must begin the process as an employee.

Source trail: OPM, OPM

Civilian deposit

1.3% + interest

OPM says certain FERS civilian deposits are generally 1.3 percent of salary plus interest.

Source trail: OPM

Near retirement

Six months

OPM says not to file a deposit application if retirement is within six months, and to submit the request with the retirement application instead.

Source trail: OPM

The buyback math compares deposit cost with the added service credit, pension increase, eligibility effect, interest, and timing.

Neutral landscape

The shape of the question

The first source is OPM creditable-service guidance because it separates civilian deposit, redeposit, and military service credit.

Source trail: OPM

The second source is SF 3108 because the form is the service-credit payment application path OPM names.

Source trail: OPM

The third source is OPM computation guidance because added service changes the pension only through the FERS formula.

Source trail: OPM

The fourth source is OPM retirement-type guidance because added service can also change eligibility and the supplement path.

Source trail: OPM

Curator core

What the authorities say

These sources are here for the reader who wants to check the work. The plain-English answer stays above them.

Source 01

OPM

Creditable Service

OPM explains FERS civilian service, military service credit, deposits, redeposits, and the SF 3108 service-credit payment process.

Source framing

OPM says military service after 1956 generally needs a deposit to count for FERS annuity title or computation.

Strongest for: official FERS service-credit and deposit rules

Read at OPM

Source 02

OPM

SF 3108: Application to Make Service Credit Payment

SF 3108 is the OPM form used to start a FERS service credit payment request.

Source framing

OPM points FERS employees to SF 3108 when applying to make a service-credit payment.

Strongest for: FERS service-credit payment form trail

Read at OPM

Source 03

OPM

FERS Information: Computation

OPM explains FERS annuity computation and related retirement benefit mechanics.

Source framing

OPM explains how FERS retirement benefits are calculated from service, age, and salary inputs.

Strongest for: FERS calculation vocabulary

Read at OPM

Source 04

OPM

FERS Information: Types of Retirement

OPM explains FERS retirement types, eligibility ages, service rules, and special retirement supplement context.

Source framing

OPM is the official source for FERS retirement eligibility and supplement framing.

Strongest for: FERS retirement eligibility and supplement context

Read at OPM

Plain-English forks

The forks people face

Most retirement questions hide a few smaller decisions. These are the practical pieces that change the plan.

Fork 01

What kind of service is being bought back?

Why it matters: Military service, civilian deposit service, and redeposit service are not the same thing.

In real life: This fork decides the rule path.

What to look at: What to look at: OPM creditable-service categories.

Fork 02

Does the time change eligibility?

Why it matters: Extra credit can affect title to retirement, not only the monthly calculation.

In real life: This fork can change the retirement doorway.

What to look at: What to look at: retirement type and service years.

Fork 03

How much does the annuity change?

Why it matters: The added time flows through the high-3 formula.

In real life: This fork turns service credit into annual dollars.

What to look at: What to look at: FERS computation guidance.

Fork 04

When is retirement?

Why it matters: OPM has different handling when retirement is within six months.

In real life: This fork changes the paperwork sequence.

What to look at: What to look at: timing of SF 3108 and retirement application.

Common questions

Quick answers

Short, plain answers for the questions people usually have next. The source trail stays available below.

Can military service count toward FERS?+

OPM says active military service can be creditable if it meets the conditions, and service performed on or after January 1, 1957 generally requires a deposit.

What is SF 3108?+

OPM identifies SF 3108 as the Application to Make Service Credit Payment for FERS.

Can I start the deposit after I leave federal service?+

OPM says the application process must begin as an employee, though payments may continue after separation as long as the separation is not for retirement.

What if retirement is within six months?+

OPM says not to file a deposit application if retirement is within six months and says the request should be submitted with the retirement application.

How does a buyback change the pension?+

Added creditable service can flow through the FERS annuity formula and may also affect retirement eligibility.

Is every buyback worth it?+

The public sources do not answer that alone. The comparison needs deposit cost, interest, added service, high-3 pay, retirement type, and expected pension duration.

How this page is curated

This page uses OPM creditable-service guidance, SF 3108, OPM FERS computation guidance, and OPM retirement-type guidance. It treats the buyback as a pension-input question and avoids deciding whether the payment is worth it for a household.

Read the planner methodology

Trust anchor

Sources used on this page

Every source named above is listed here in one place.

Before you act on this

This plan is educational. It is not personalized financial, tax, or insurance advice. Projections illustrate the math, they do not predict the future. Talk to your own licensed financial professional before acting on any of it.