Fork in the Road, What to Do?

Wes Battle, CFP®, ChFEBC™, AIF®, RICP®

January 31, 2025

I’m going to level with you, I don’t know the answer. There are too many unknowns and unanswered questions. And you need to keep in mind that anyone who is telling you to take the deal has no legal liability to you if things do not play out as stated today.

In my opinion, this offer could be very beneficial for people eligible or becoming eligible for retirement who had their sights on a 12/31/25 retirement date.

However, currently, there is not enough assurance that the program will stay fully intact as offered. What do I mean by that?

Pouring over articles and watching multiple webinars, here is the summary I’ve come to understand:There is no authority to offer this program outside of the RIF options that are already available. Only VERA and VISP programs are part of OPM’s legal RIF offerings, which do not include a provision of 8 months of administrative leave.
There is no specific funding for this program- attorneys argue there is no funding available to put people on administrative leave for extended periods.
Provisions are directly contrary to past OPM guidance on appropriate uses for admin leave. The offer directly contradicts the rules implemented by the Administrative Leave Act of 2016, which placed more strict requirements around agencies' use of administrative leave.¹
If legally challenged, it could alter the terms of the agreement – this could cause major problems for folks who took the deal and who have not yet met immediate retirement eligibility. Those Feds relying on FERS, CSRS pension, and FEHB coverage could be jeopardized.
Many Unions Assert that it violates collective bargaining agreements.²
Attorneys assert that the offer violates the Anti-deficiency Act, which bars the government from spending beyond what is dictated in their budget and requires them to use federal funding as intended.³

Ok so you don’t like the deal, now what? How do we move forward from here?

In anticipation of changes, although admittedly I did not imagine this drastic this fast, I went to work trying to place myself in my Fed’s shoes. What would I do in this situation? How would I prepare for what is coming? How do I know if the right decision is to stay or leave?

What came from that was this resource:Preparing to Exit the Government Workforce Guide

Stemming from my decade of experience teaching, consulting, and planning with Feds, I created this as a guide to make better decisions to prepare for the next step.Approaching this decision with my Federal Benefits Expertise and nearly two decades of Financial planning experience, this guide is how I would prepare.It’s not an all-encompassing Financial planning guide, but it is designed to help you take the big picture and the unknown and build a plan you can take action on.

Feel free to share, use, share, or post. I would hope for this to have a positive impact in these uncertain times.

Fork in the Road, What to Do?

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