Right Now
While members of Congress have at times been accused of receiving excessive retirement payments while being exempt from contributing to Social Security and the congressional pension fund themselves, this is not in fact true.
A report by the non-partisan Congressional Research Service provides a summary of why, contrary to popular belief, members of Congress are currently required to participate in Social Security and have been since January 1984.
Key facts about retirement benefits for Members of Congress:
- Members of Congress first elected in 1984 or later are covered automatically under the Federal Employees' Retirement System (FERS) and required to participate in Social Security.
- Members of Congress also have the option of participating in the Thrift Savings Plan (TSP) which is akin to a 401K plan.
- Congressional pensions are financed through a combination of employee and employer contributions, this includes Members of Congress.
- The amount of the congressional pension depends on years of service and the average of the highest three years of salary. By law, the starting amount of a Member's retirement annuity may not exceed 80% of his or her final salary.
Read the full CRS report here.
