Families First Coronavirus Response Act (FFCRA) Leave – Understanding How Leave Impacts Retirement and TSP Deductions
The Families First Coronavirus Response Act (FFCRA) provided employees with two additional types of leave: Emergency Paid Sick Leave, and Expanded Family and Medical Leave for child care needs. This leave benefit became effective April 1, 2020, and continues through December 31, 2020.
Since the introduction of the new leave types, the Office of Personnel Management has provided official guidance that leave payments under the FFCRA are not eligible for retirement and Thrift Saving Plan (TSP) deductions.
If you took leave under FFCRA, any deductions withheld for TSP or retirement as a result of FFCRA leave will be refunded to you in pay period 20-2020, retroactive to April 1, 2020. Retirement refunds will show on your October 2, 2020, paycheck. These refunds will not impact creditable service time towards retirement eligibility.
For more information, please click here to download the full announcement.