NAF to GS: keep your pension?
You have 30 days. It’s permanent.
Do nothing and you start FERS from zero. Your NAF years don’t move over.
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1. Who gets the choice
The Portability of Benefits rules let you keep the retirement plan you had before a move between a nonappropriated fund (NAF) job and a civil service job. Think exchange, MWR, child care and club jobs run by DoD or the Coast Guard.
| Requirement | Rule |
|---|---|
| Your NAF job | DoD or Coast Guard, covered by a NAF pension plan |
| Your civil service job | CSRS or FERS, in any agency |
| Break in service | No more than 1 year |
| Date of the move | On or after December 28, 2001 |
| Prior chance | You can’t have had this choice before |
| Vesting | Not required |
NAF 401(k) only? You don’t qualify. You must have been in the NAF pension plan. It works the other way too: a FERS employee moving to a NAF job can elect to stay in FERS.
2. The two options
Moving from NAF into a civil service job, you pick one:
| Keep the NAF pension | Join FERS | |
|---|---|---|
| NAF years | Keep building in one plan | Stay behind in the NAF plan |
| Savings plan | NAF 401(k) | TSP |
| Starts | Back to the date of the move | As a new FERS employee |
| Form | RI 38-134 | None needed |
Each military service and exchange runs its own NAF pension: Army, Air Force, Marine Corps, Navy (CNIC), NEXCOM and AAFES. Ask your NAF benefits office for your plan’s formula and vesting rules before you decide.
3. How to decide
- Count your NAF years. The more you have in the NAF pension, the more it costs to split your career across two plans.
- Check vesting. All six DoD NAF pension plans vest at 5 years. Ask what you get if you leave before then.
- Think about where you will finish. Planning a long civil service career? FERS adds the FERS supplement before 62 and the TSP match.
- Compare at the same retirement age. Ask both benefits offices for an estimate at the age you plan to stop.
Thirty days goes fast during onboarding. If HR doesn’t mention the election, ask in week one. Missing the deadline leaves you in FERS.
4. Using NAF years to retire sooner
A separate rule helps at retirement. If you qualify for a deferred annuity but not an immediate one, you can count DoD or Coast Guard NAF service toward eligibility only.
- You need 5 years of civilian service outside NAF.
- You elect on your retirement application. Leave without electing and you lose the option.
- The annuity is cut so it is worth no more than the deferred annuity you would have waited for.
- No FERS supplement, and no deposit for the NAF years.
Already eligible through MRA+10 or a full immediate retirement? Then this rule doesn’t help you.
5. What doesn’t move with you
| Benefit | What happens |
|---|---|
| FEHB | Not portable. Enroll within 60 days. |
| FEHB five-year rule | NAF time doesn’t count |
| FEGLI | Not portable; Basic starts automatically |
| Leave, pay, RIF credit | Moves within DoD if the break is 3 days or less |
| Severance pay | Generally not paid on a qualifying move |
The FEHB point catches people near retirement. You need five years of FEHB right before you retire to keep it; see the FEHB five-year rule.
Moved between 1966 and 1996? A one-time retroactive election closed August 11, 1997. Your agency must still allow it if you were never told about it.
6. Your 30-day checklist
- Before you accept: ask the NAF benefits office for your plan, years of service and vesting status.
- Day 1: ask civil service HR for the portability eligibility notice.
- By day 30: file the election and keep a copy.
- By day 60: enroll in FEHB. Consider FEGLI options.
- Joined FERS? Start the TSP and decide what to do with the NAF 401(k); see TSP rollovers.
New to federal hiring? Federal Warrior’s first 90 days covers the other onboarding deadlines, and its military spouse hiring guide helps if that’s your route. Picking a health plan? Use Warrior Insure’s FEHB premium estimator. Veteran moving into a GS job? See Warrior Disability on veterans’ preference.
7. Frequently asked questions
Can I keep my NAF pension if I move to a federal civil service job?
Yes, if you were in a DoD or Coast Guard NAF pension plan, you move to a CSRS or FERS position in any agency with a break in service of no more than one year, the move was on or after December 28, 2001, and you have not had this choice before. You do not need to be vested. Being only in a NAF 401(k) does not qualify.
How long do I have to make the election?
30 days from the date of your new appointment. The election is permanent and irrevocable, and it takes effect back to the date of the move.
What happens if I do nothing?
You are covered by the new job’s retirement system as a new employee. Moving into civil service, that usually means FERS, with no credit for your NAF years and no transfer of your NAF contributions.
Does NAF service count toward the FEHB five-year rule?
No. Health and life insurance are not portable, and NAF service does not count toward the five years of FEHB coverage you need to keep FEHB in retirement. You get 60 days from your appointment to enroll.
Can NAF service help me retire earlier under FERS?
Only for eligibility, and only at retirement. If you have at least five years of civilian service outside NAF and qualify for a deferred annuity but not an immediate one, you can elect to count DoD or Coast Guard NAF service toward immediate retirement eligibility. The annuity is reduced so it is worth no more than the deferred annuity, you get no FERS supplement, and you cannot make a deposit for the NAF time.
- DCPAS, Portability of Benefits for NAF employees
- DCPAS, Portability of Benefits Reference Guide (2021)
- DCPAS, FAQs: Portability NAF to civil service
- DCPAS, NAF Personnel System and Portability of Benefits (2024)
- 5 CFR Part 847, elections of retirement coverage and NAFI service credit
- OPM, Benefits Administration Letter 03-102
- OPM, NAFI retroactive elections
This page explains general rules. Your NAF plan’s terms and your service history decide your options; confirm with your NAF and civil service benefits offices before you elect.