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Fair Retirement for Officers: Overtime Included in Benefits

This act aims to ensure federal law enforcement officers receive full retirement benefits, including all overtime hours worked, even if unpaid due to pay caps. This will better reflect their actual work contribution in their pensions, potentially improving their financial security after service.
Key points
Overtime hours for which officers were not compensated due to pay caps will be included in their retirement calculations.
Officers will need to make a lump-sum payment or accept an actuarial annuity reduction to benefit from these changes.
The act seeks to improve recruitment and retention of highly qualified officers by providing fairer retirement benefits.
It introduces a tax credit for lump-sum payments made to include overtime in retirement calculations.
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Additional Information
Print number: 117_HR_8087
Sponsor: Rep. Pascrell, Bill, Jr. [D-NJ-9]
Process start date: 2022-06-15