FERS High-3 Calculator
If you’re planning retirement under the Federal Employees Retirement System (FERS), your High-3 average salary is one of the most important factors in determining your pension.
Our FERS High-3 Calculator helps you:
- ✅ Calculate your High-3 average salary
- ✅ Determine the correct FERS multiplier
- ✅ Estimate annual annuity
- ✅ See projected monthly retirement income
This tool gives federal employees a fast and accurate estimate of their basic FERS annuity.
What Is the FERS High-3 Average Salary?
Your High-3 is the highest average basic pay you earned during any consecutive 36-month period of federal service.
Important notes:
- It is based on basic pay only
- It does not include bonuses, overtime, or allowances
- It typically represents your last three years of service (but not always)
The High-3 is the foundation of your pension calculation.
FERS Basic Annuity Formula
Your FERS retirement benefit is calculated as:
High-3 Average Salary × Years of Service × Multiplier
Standard Multiplier
- 1% of High-3 for each year of service
Enhanced Multiplier
- 1.1% if you retire at age 62 or older with at least 20 years of service
That extra 0.1% may seem small, but it can increase lifetime income significantly.
How to Use the FERS High-3 Calculator
The calculator is simple and takes less than a minute.
Step 1: Enter Your Three Highest Paid Years
Input your annual basic pay for:
- Year 1
- Year 2
- Year 3
The tool automatically calculates your High-3 average.
Step 2: Enter Total Years of Service
Include all creditable federal service time.
Example:
- 22 years
- 28.5 years
- 30 years
Step 3: Enter Retirement Age
Your age determines which multiplier applies:
- Under 62 → 1%
- 62+ with 20+ years → 1.1%
Step 4: Click Calculate
The tool displays:
- High-3 average salary
- Multiplier used
- Estimated annual annuity
- Estimated monthly annuity
You can reset and test multiple retirement scenarios.
Example Calculation
Let’s walk through a sample.
Example Inputs:
- Year 1 Salary: $92,000
- Year 2 Salary: $95,000
- Year 3 Salary: $98,000
- Years of Service: 25
- Retirement Age: 62
Step 1: Calculate High-3
(92,000 + 95,000 + 98,000) ÷ 3 = $95,000
Step 2: Apply Multiplier
Since retirement age is 62 with 20+ years:
Multiplier = 1.1%
Step 3: Calculate Annual Annuity
95,000 × 25 × 0.011 = $26,125
Step 4: Monthly Annuity
26,125 ÷ 12 = $2,177.08 per month
That 0.1% boost increases lifetime income meaningfully.
Why the 1.1% Multiplier Matters
Compare:
Retiring at 61 (1% multiplier)
95,000 × 25 × 0.01 = $23,750
Retiring at 62 (1.1% multiplier)
95,000 × 25 × 0.011 = $26,125
Difference:
$2,375 more per year
Nearly $200 more per month
Over a 25-year retirement, that’s nearly $60,000 in additional income.
What Is Not Included in This Calculator?
This High-3 calculator estimates your basic FERS annuity only.
It does not include:
- Social Security benefits
- Thrift Savings Plan (TSP) withdrawals
- Cost-of-Living Adjustments (COLA)
- Survivor benefit reductions
- Early retirement penalties
It strictly calculates the foundational pension formula.
Who Should Use This FERS High-3 Calculator?
This tool is ideal for:
- Federal employees nearing retirement
- Employees comparing retirement ages
- HR retirement counselors
- Financial planners working with federal clients
- Mid-career employees planning long-term
Even small changes in salary or retirement age can significantly affect your pension.
12 Frequently Asked Questions (FAQs)
1. What counts toward High-3?
Basic pay, including locality pay.
2. Does overtime count?
No.
3. Does hazard pay count?
No.
4. Is High-3 always the last 3 years?
Usually, but not always. It’s the highest consecutive 36 months.
5. What is the standard FERS multiplier?
1%.
6. When do I get 1.1%?
At age 62+ with at least 20 years of service.
7. Is the 1.1% automatic?
Yes, if you meet eligibility.
8. Does this include survivor benefit reductions?
No.
9. Does this include early retirement reductions?
No, this calculator does not apply MRA+10 penalties.
10. Can I test different retirement ages?
Yes, simply change the age field and recalculate.
11. Is this calculator official?
It follows official FERS formulas but is for estimation purposes only.
12. Where can I confirm my exact numbers?
Consult your agency’s HR office or official retirement estimate.
Final Thoughts
Your High-3 average salary is the core of your FERS pension calculation. A small difference in salary, service years, or retirement age can translate into thousands of dollars over your lifetime.
Use this FERS High-3 Calculator to:
- Understand your retirement baseline
- Compare retirement ages
- Evaluate the impact of additional service
- Plan your financial future with confidence
Accurate planning today leads to a stronger and more secure federal retirement tomorrow.