FAA and LEO Retirements Come With Their Own Rules—And Breaking One Could Cost You Big Time

Key Takeaways

• If you’re a federal employee under special retirement categories like LEO (Law Enforcement Officer) or FAA (Federal Aviation Administration), you’re entitled to enhanced retirement benefits—but only if you follow the rules precisely.

• Missing age and service benchmarks, declining mandatory retirement, or switching to non-covered positions late in your career could result in delayed retirement eligibility or reduced annuity benefits.

What Makes Special Category Retirement Different?

In the federal workforce, not all retirement systems are created equal. Certain groups, including law enforcement officers, firefighters, air traffic controllers, and FAA personnel, fall under special category retirement. These roles are recognized for their demanding, high-risk nature and come with accelerated retirement privileges under the Federal Employees Retirement System (FERS).

Unlike standard FERS employees who generally retire at their Minimum Retirement Age (MRA) with at least 30 years of service, special category employees may retire earlier. But early retirement comes with a catch: eligibility hinges on strict adherence to role, service duration, and age requirements.

Key Eligibility Rules for LEO and FAA Employees

1. Mandatory Retirement Ages

• LEOs and Firefighters: Mandatory retirement is required at age 57, provided the individual has completed at least 20 years of covered service.

• FAA Air Traffic Controllers (ATCs): Must retire by age 56 if they have at least 20 years of ATC service.

This rule is based on the premise that these high-stress positions demand peak physical and mental performance. However, if you hit the age limit without the required 20 years, you may have to shift roles or retire under regular FERS rules.

2. Minimum Service Requirements

To qualify for special retirement:

• You must complete 20 years of creditable service in a primary or secondary covered position.

• The 20 years must be continuous unless you separate and return to a covered position within 3 days.

Any break longer than 3 days could disrupt your covered service and reset your eligibility clock.

3. Age and Service Timing

You can retire under special provisions:

• At age 50 with at least 20 years of covered service

• At any age with 25 years of covered service (if applicable, such as in some firefighter or ATC roles)

These combinations are far more generous than regular FERS retirement eligibility but are tightly controlled.

What Happens If You Break a Rule?

Failing to meet the criteria for special category retirement often results in being placed back into the standard FERS retirement framework. That could mean:

• Delayed retirement age: Instead of retiring at 50, you may have to wait until 60 or even 62.

• Lower annuity benefits: Special category retirees get 1.7% of their high-3 average salary per year for the first 20 years. Standard retirees get 1.0% or 1.1%. If you lose special status, your annuity rate drops.

• Loss of enhanced benefits: You may no longer be eligible for the FERS Special Retirement Supplement or other perks specific to LEO/FAA retirements.

The High-3 Calculation Still Matters

Even under special category retirement, your annuity is calculated using the high-3 average—your highest average salary over any 3 consecutive years of service. The formula looks like this:

• 1.7% of your high-3 salary x first 20 years of covered service

• 1.0% of your high-3 salary x all years beyond 20

This is much more favorable than regular FERS, which provides 1.0% (or 1.1% if you retire at 62 with 20+ years).

But this formula only applies if you maintain your special category coverage. If you move into a non-covered position before reaching the 20-year mark, those earlier years could be recalculated under the standard rate unless you return to a covered position and complete the requirement.

Transfers, Promotions, and Detail Assignments: Watch Your Status

Not every move within a federal agency is safe. If you accept a promotion or detail that puts you into a non-covered position, even temporarily, you risk losing your special retirement status unless it’s considered a secondary position under the law.

To preserve your benefits:

• Verify position codes and retirement coverage with your HR office.

• Ask if the new assignment qualifies as a “secondary position” under your retirement category.

• Ensure you don’t break the 3-day rule when switching roles.

What Is a Secondary Covered Position?

Special retirement categories include both primary and secondary positions:

• Primary positions are the frontline roles—LEOs, ATCs, and firefighters—where you must start your career.

• Secondary positions are roles you can move into after serving in a primary position, and they still count as covered service for retirement.

To qualify for a secondary position, you must:

• Have completed 3 years in a primary position.

• Move directly into the secondary role without a break in service over 3 days.

If you accept a non-covered job or move after a longer break, your clock may reset.

Special Retirement Supplement: An Important Bridge

If you retire before age 62 under special category provisions, you’re typically eligible for the FERS Special Retirement Supplement (SRS). This supplement:

• Mimics your Social Security benefit until you reach age 62

• Helps fill the income gap before you can claim actual Social Security

But again, if you don’t meet the 20-year covered service requirement, you lose access to this valuable benefit.

And note: If you earn income above the annual Social Security earnings limit ($23,480 in 2025), your SRS is reduced $1 for every $2 earned above the limit.

TSP Access and Age 50 Rule

Under special retirement, you can begin penalty-free withdrawals from your Thrift Savings Plan (TSP) at age 50, instead of the standard age 59½ for regular FERS employees. This exception applies only if:

• You separate from service in the calendar year you turn 50 or later

• You are retiring under special category rules

If you miss this timing or switch into regular FERS, the early withdrawal rule no longer applies.

Sick Leave Credit and Military Buyback Still Count

For special category retirees, unused sick leave does count toward your annuity calculation but not toward your eligibility. You must still have the full 20 years of actual covered service to qualify for special category retirement.

Military service can also be credited if you buy it back, but it only counts toward annuity, not the 20 years of covered service required for early retirement. So even if you buy back 4 years of active-duty service, you still need 20 years of LEO or FAA service.

Health Benefits and FEHB Continuation

One benefit that remains intact regardless of your retirement category is FEHB (Federal Employees Health Benefits). As long as:

• You were enrolled in FEHB for the 5 years prior to retirement (or since your first opportunity), and

• You’re eligible for immediate retirement,

You can continue coverage into retirement. The government continues to pay about 70% of your premium, and it becomes a powerful supplement if you pair it with Medicare later on.

Spousal and Survivor Benefits: Rules Still Apply

Special category retirees follow the same spousal benefit rules as regular FERS retirees:

• You must elect at least a partial survivor benefit for your spouse to continue FEHB after your death.

• Your annuity will be reduced based on the survivor benefit you elect (maximum, partial, or none).

Failing to elect this can leave your spouse without FEHB, even if you were covered.

Timing Is Everything: Don’t Miss These Milestones

Several timing issues can affect your eligibility and benefits:

• Turning age 50 with 20 years: triggers early retirement eligibility

• Turning age 56 (ATC) or 57 (LEO): mandatory retirement ages

• Reaching 20 years of covered service: crucial for special benefit eligibility

• Switching roles: check if the position is covered and maintain continuous service

Missing any of these benchmarks could disqualify you from enhanced retirement.

Special Category Retirement Isn’t Automatic—It Must Be Maintained

Unlike regular retirement that follows broader FERS rules, special category retirement is a privilege that must be actively preserved throughout your career. It’s easy to unintentionally forfeit these benefits by taking a seemingly minor career move or miscalculating your years of service.

Before any job change, promotion, detail, or early retirement consideration, talk to your agency’s HR and consider reaching out to a licensed professional.

Make Informed Moves Before You Retire

There’s no shortage of opportunities to misstep when it comes to FAA and LEO retirement eligibility. From position classifications to age and service thresholds, every decision matters. Don’t assume that all federal roles come with the same retirement perks—they don’t. And what counts as covered service may not be as straightforward as it seems.

If you’re unsure about where you stand or how a career move could affect your future benefits, get in touch with a licensed professional listed on this website for advice tailored to your retirement timeline.