1. What is a Federal Government Severance Calculator?

Definition: This calculator estimates severance pay for federal government employees based on weekly salary, years of service, and a severance factor.

Purpose: It helps federal employees understand their potential severance benefits when leaving government service.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( SP \) — Severance pay (USD)
• \( W \) — Weekly salary (USD)
• \( S \) — Years of service (dimensionless)
• \( k \) — Severance factor (dimensionless, federal-specific)

Explanation: The weekly salary is multiplied by years of service and a federal-specific severance factor to calculate total severance pay.

3. Importance of Severance Calculation

Details: Accurate severance calculation helps federal employees plan their financial transition when leaving government service.

4. Using the Calculator

Tips: Enter your weekly salary in USD, years of service (can include fractions like 10.5), and severance factor (default 2.0 for federal employees). All values must be > 0.

5. Frequently Asked Questions (FAQ)

Q1: What is the standard federal severance factor?
A: The federal government typically uses a factor of 2.0 for severance calculations.

Q2: How is weekly salary determined?
A: It's your current basic pay divided by 52 weeks. Include locality pay but not bonuses or overtime.

Q3: Are partial years of service counted?
A: Yes, you can enter fractions of years (e.g., 10.5 years) in the calculation.

Q4: Is there a maximum severance payment?
A: Federal regulations may cap severance pay at 52 weeks of salary in some cases.

Q5: Is severance pay taxable?
A: Yes, severance payments are generally subject to federal income tax withholding.