This is what I’ve been told by some older sooner to retired controllers who went to one of the union retirement briefing…
The social security supplement is paid, by the Agency, from the time you retire until age 62. Any other outside employment income doesn’t come into play until age 57. Then, it is means tested at age 57 based on what outside employment income you make. (Example: retire at 50, receive pension, supplement, and take a job as a contract controller. That contract job income won’t factor into whether your supplement is reduced until age 57. At that point, it is means tested and based on the amount may reduce your supplement). Also, that supplement doesn’t receive any annual raises given to social security recipients. At age 62 when the supplement ends, you decide when you want to apply for actual Social Security (62, 65, 67, 70, or whatever). Pension is 1.7% x first 20 years then 1% each year after that. You can work to your MRA of 57 and make higher, but you need a waiver or to transfer out of being an ATCer. Also, you currently can’t withdraw from your TSP, without penalty until age 50.
So let’s assume your age 62 benefit is $2,317 and your current high three is $165,000. You’ll have 25 years of service at age 48 and 33 years of service at age 56.
Supplement is (number of years/40) x (age 62 benefit) = monthly supplement amount until age 62
Age 48:
Pension- $5,362.50 ($165,000 x 0.39%/ 12)
Supplement- $1,448.12 (25/40 x $2,317)
Monthly pay= $6,810.62 pre tax or any withholdings
Age 50:
Pension- $5,637.50
Supplement- $1,563.98
Monthly pay= $7,201.48
Age 56:
Pension- $6,462.50
Supplement- $1,911.53
Monthly pay= $8,374.03