As surprising as this may sound, not everything on the internet is true.

And one of the untrue things that I am really tired of seeing is the repeated claim that members of Congress get their full pay for life and that they have some kind of fabulous, free health care option that the rest of us don’t have.

Twenty-five seconds of research can dispel either myth.  Here are a few facts.

1. Members of Congress (Representatives and Senators) qualify for pensions based on their age and years of service, just like any other federal employee. Their system is generous, but they absolutely DO NOT receive their full pay for life, as some social media posters apparently believe.
2. To receive a pension, a member of Congress must serve at least five years. To collect their full pension, members must be at least 62 years of age, or be 50 with 25 years of service.
3. Vesting after five years is not uncommon in public sector retirement plans. With only five years of service, the member can’t collect anything until age 62, and then will collect about 8.5 percent of their final pay.
4. Since 1987, Congressional pensions have been managed by the Federal Employees Retirement System (FERS) which covers, unremarkably, most federal employees. FERS is comprised of Social Security, basic annuity, and a Thrift Savings Plan investment account.
5. The actual calculation of a member’s annuity is based on the average of the highest three years of the member’s salary, which is multiplied by 1.7 percent for each year of service. (1.7 percent for the first twenty years, 1.o percent for any additional years.)
6. Pensions are capped at 80 percent of a member’s final salary, regardless of the number of years of service.
7. Members of Congress are required to purchase health insurance through the Affordable Care Act exchanges.
8. Their employer (the taxpayers) pays 72 percent of the cost. The members pay 28 percent.
9. They can choose from the same plans as anyone else in the capital region.
10. Unlike you, however, after paying an annual fee, they can visit the Office of the Attending Physician.
11. Also unlike you, they can receive free care from military medical facilities within the capital region.
12. If the Affordable Care Act is repealed, members of Congress will be enrolled in the Federal Employee Health Benefits Program (FEHBP), which covers nearly 4 million federal employees and is itself a pretty good plan.

With the possible exception of the military care option, Congressional pension and health care benefits are very similar to the benefits other federal employees and employees of large private sector firms receive.  They have a good deal, but it is nowhere near as good as some people apparently believe.

June 1, 2018