The Lowdown on Buyouts

THE DAILY FED

The Lowdown on Buyouts

The "Employee's Guide to Buyouts Under P.L. 104-208" offers tips for planning for a possible buyout offer, worksheets for estimating buyout amounts and information on the tax implications of buyouts.

The "Guide to Implementing Voluntary Separation Incentive Programs Under P.L. 104-208" explains how agency managers should implement employee buyout programs, from determining eligibility to paying out the checks. It includes an overview of the legislation, sample offer letters and more.

Most executive branch agencies have been authorized to use buyouts through December 30, 1997 in an effort to downsize the federal workforce. The guides remind workers that buyouts are tools for agencies reducing their rolls, not a right owed to employees.