martyb
Thinks s/he gets paid by the post
Thanks, Martyb, and congrats to you, too. I have been asked by co-workers why I am not retiring on July 7 as I would get paid for the July 4 holiday. For one, I didn't want to risk pulling office coverage on the 3rd, the day before the holiday when few people would be around in case of an emergency. Also, I want to generate as little W-2 income as possible as it dings my SS survivor benefits. As it is, I won't get any of these benefits for at least 6 months as my earned income is too great for someone who is not FRA. My agency will pay me for my unused vacation and sick leave but it is a mixed blessing due to the SS clawback. I feel I have to blow this "bonus" money. I plan to buy a new car when the 2015 models come out.
I've been asked the same question. The answer is that I'm a federal employee, and my retirement plan (CSRS) is set up in such a way that if I had not retired by the 3rd at the very latest, I would have had to wait a full additional month before I started receiving my pension payment. By retiring on the 3rd, I'll get my first check on or about August 1st. If I retired on the 4th or later....it would be September 1st before I got paid. By retiring on the 3rd, which is a Thursday, I'll be giving up one day of pay.