Federal Employee Survivor Benefits: FERS, CSRS, Survivor Benefit Plan, and TSP
Survivors of federal civilian employees and retirees may be entitled to multiple overlapping benefits: a monthly survivor annuity from OPM (under FERS or CSRS), Survivor Benefit Plan (SBP) payments if the deceased was a military retiree, TSP account distributions, and continuation of Federal Employees Health Benefits (FEHB). These benefits are administered by different agencies and require separate applications. Missing a deadline or failing to apply can permanently forfeit benefits — particularly for the Thrift Savings Plan, where a beneficiary must actively claim their distribution.
FERS vs. CSRS: Which System Applies
Most federal employees hired before January 1, 1984 are covered by the Civil Service Retirement System (CSRS). Employees hired on or after January 1, 1984 are generally covered by the Federal Employees Retirement System (FERS). The survivor benefits differ substantially between the two systems.
| ContentFERSContentCSRS** | | --- | --- | --- | | Basic Employee Death Benefit (BEDB) | YES — if employee had at least 18 months of service: 50% of final annual salary + lump sum (~$39,000+ adjusted annually for COLA) | NO — no equivalent lump sum; CSRS provides survivor annuity only | | Survivor Annuity — monthly | 50% of the annuity the employee would have received at retirement age (requires 10+ years service, 18+ months civilian) | Up to 55% of the employee's projected retirement annuity (elected by the retiree; can be less than maximum) | | Social Security Integration | FERS employees pay Social Security taxes; survivors may be eligible for BOTH FERS annuity and Social Security survivor benefits | CSRS employees generally did not pay Social Security taxes; Social Security survivor benefits may be limited or unavailable | | Service requirement for survivor annuity | 10 years creditable service (18 months must be civilian) | 18 months creditable civilian service | | Marriage requirement | At least 9 months (exceptions: accidental death; child born of marriage) | At least 9 months (same exceptions) | | COLA on survivor annuity | Limited COLA: full if CPI ≤ 2%; 2% if CPI 2–3%; CPI minus 1% if CPI > 3% | Full COLA annually — tied to CPI |
FERS: Survivor Benefits in Detail
Basic Employee Death Benefit (BEDB)
If a FERS employee dies with at least 18 months of service, the surviving spouse receives a Basic Employee Death Benefit equal to: 50% of the employee's final annual basic pay, PLUS a lump sum payment adjusted annually (approximately $39,000–$40,000 in recent years; verify current amount with OPM). This BEDB can be paid as a single lump sum or in 36 equal monthly installments (with interest) at the surviving spouse's option.
FERS Survivor Annuity (Monthly)
If the FERS employee had 10 or more years of creditable service (at least 18 months of which must be civilian service), the surviving spouse also receives a monthly survivor annuity equal to 50% of the retirement annuity the employee would have received had they reached retirement age on the date of death.
Children's FERS Annuity
Dependent children of a FERS employee who dies in service may receive a monthly annuity. However, this is typically reduced dollar-for-dollar by Social Security children's survivor benefits. In most cases, the Social Security benefit alone will equal or exceed what FERS would pay for children, so the practical FERS children's annuity is often $0. Children who are between 18 and 22 and enrolled full-time in an accredited educational institution continue to receive benefits under FERS for that period after Social Security benefits end at age 18 (or 19).
How to Apply for FERS/CSRS Survivor Benefits from OPM
| ContentActionContentDetails** | | --- | --- | --- | | 1 | Report the death to OPM | Call OPM Retirement Center: 1-888-767-6738, Monday–Friday, 7:30 AM–7:45 PM ET. OR report online at opm.gov/retirement-center. OPM creates a claim number and mails a survivor benefits packet. | | 2 | Complete Application for Death Benefits | FERS: Standard Form 3104 AND SF 3104B (if employee died in service). CSRS: Standard Form 2800. Both available at opm.gov. | | 3 | Also complete Life Insurance claim | FE-6 (OFEGLI Claim for Death Benefits) is included in the OPM packet. OFEGLI: 1-800-633-4542. | | 4 | Gather required documents | Certified death certificate; marriage certificate; divorce decrees (for any marriages on/after May 7, 1985); children's birth certificates if claiming for children. | | 5 | Mail completed packet | OPM Retirement Operations Center, Attn: Survivor Processing Section, P.O. Box 45, Boyers, PA 16017-0045 | | 6 | Interim payments | OPM typically begins interim monthly payments within 30 days while processing the full claim; final payment adjusts when claim is finalized. |
Military Survivor Benefit Plan (SBP)
The Survivor Benefit Plan (SBP) is a voluntary, premium-paid annuity that military members elect at retirement to provide monthly income to survivors. It is managed by the Defense Finance and Accounting Service (DFAS) — not the VA or OPM.
SBP Key Facts
Amount: Up to 55% of the military retiree's retired pay
SBP + DIC: As of January 1, 2023, the SBP-DIC offset is fully eliminated. Survivors receive full SBP AND full VA DIC with no reduction.
Cost: Premiums are 6.5% of the base amount elected (paid from retiree's monthly pay during their lifetime)
Eligibility: Surviving spouse elected as SBP beneficiary by the retiree; former spouse can receive SBP through court order
Application: Contact DFAS at 1-800-321-1080 or visit dfas.mil. Notify DFAS immediately after the military retiree's death.
Taxation: SBP payments are taxable income to the survivor (unlike DIC, which is tax-free)
Remarriage: SBP payments stop if the surviving spouse remarries before age 55; resume if that remarriage ends
Thrift Savings Plan (TSP): Claiming the Account Balance
The TSP is the federal employees' equivalent of a 401(k). When a TSP participant dies, the account balance is distributed to the designated beneficiary — or, if no beneficiary was designated, under the TSP's order of precedence.
| ContentWho Receives the TSP BalanceContentAction Required** | | --- | --- | --- | | Beneficiary designated on TSP-3 Form | The person(s) named on Form TSP-3, regardless of what the will says — the TSP designation controls | Beneficiary must contact TSP at 1-877-968-3778 and submit TSP-17 (Information Relating to Deceased Participant) | | No TSP-3 on file (order of precedence) | 1. Widow/Widower; 2. Children equally; 3. Grandchildren; 4. Parents; 5. Court-appointed executor; 6. Next of kin under state law | Same — contact TSP with death certificate and proof of your relationship | | Spouse is beneficiary | Spouse has the option to move the TSP balance into their own TSP account (if also a federal employee) — the most tax-advantaged option | Must be claimed; does not transfer automatically | | Non-spouse beneficiary | Must take the distribution; cannot roll into own IRA (except into an inherited IRA) | Distribution is taxable income in the year received; consider spread over available years if large balance |
A TSP balance does NOT transfer automatically or through the will. If the deceased was a federal employee or military member with a TSP account, the beneficiary MUST actively claim it. Unclaimed TSP accounts are eventually turned over to the state as abandoned property — but only after many years. Do not assume the TSP was already handled. Contact TSP at 1-877-968-3778 within 60 days of the death.
Federal Employees Health Benefits (FEHB) Continuation
A surviving spouse who was enrolled in FEHB coverage through the deceased federal employee or retiree can continue coverage IF: the deceased was enrolled in FEHB at the time of death, AND the surviving spouse is entitled to a survivor annuity from OPM. The health coverage converts automatically to self-only in the survivor's name — the survivor does not need to re-enroll. Even if the monthly annuity is less than the FEHB premium, the survivor can remit the difference directly to OPM and maintain the coverage.