Q: In calculating the 35 highest earnings years for WEP and Social Security, indexed for inflation, does that include the earnings that a CSRS retiree earned while employed in their federal positions? I am assuming it does since the “penalty” is being exacted in cutting the first multiplying factor in half.
A: Sorry, but it does not. It only includes money earned in Social Security covered employment. Our earnings for those years come up as “0” in our Social Security earnings record.