# 5 C.F.R. § 550.704 (2026): Eligibility for severance pay

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_704

## Section

- **Citation:** 5 C.F.R. § 550.704 (2026)
- **Heading:** Eligibility for severance pay
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Title 5 CFR: Administrative Personnel / Chapter I / Part 550 / Subpart G / § 550.704: § 550.704   Eligibility for severance pay.

## Text

(a) To be eligible for severance pay, an employee must: (1) Be serving under a qualifying appointment; (2) Have completed at least 12 months of continuous service, as described in § 550.705; and (3) Be removed from Federal service by involuntary separation. (b) An employee is not eligible for severance pay if he or she: (1) Is serving under a nonqualifying appointment; (2) Declines a reasonable offer; (3) Is serving under a qualifying appointment in an agency scheduled by law or Executive order to be terminated within 1 year after the date of the appointment, unless on the date of separation, the agency's termination has been postponed to a date more than 1 year after the date of the appointment, or the appointment is effected within 3 calendar days after separation from a qualifying appointment; (4) Is receiving injury compensation under subchapter I of chapter 81 of title 5, United States Code, unless the compensation is being received concurrently with pay or is the result of someone else's death; (5) Is eligible upon separation for an immediate annuity from a Federal civilian retirement system or from the uniformed services. Such an employee is ineligible even if all or part of the annuity is offset by payments from a non-Federal retirement system the employee elected instead of Federal civilian retirement benefits or disability benefits received from the Department of Veterans Affairs; or (6) Occupies a position in Schedule Policy/Career of the excepted service and his or her agency identifies unacceptable performance or misconduct as the basis for separation in a written notice to the employee. [55 FR 6593, Feb. 26, 1990, as amended by E.O. 14410, 91 FR 34894, June 10, 2026]

## Nearby sections

- [5 C.F.R. § 550.701 (2026) § 550.701   Introduction.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_701.md)
- [5 C.F.R. § 550.702 (2026) § 550.702   Coverage.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_702.md)
- [5 C.F.R. § 550.703 (2026) § 550.703   Definitions.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_703.md)
- [5 C.F.R. § 550.704 (2026) § 550.704   Eligibility for severance pay.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_704.md)
- [5 C.F.R. § 550.705 (2026) § 550.705   Criteria for meeting the requirement for 12 months of continuous employment.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_705.md)
- [5 C.F.R. § 550.706 (2026) § 550.706   Criteria for meeting the requirement for involuntary separation.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_706.md)
- [5 C.F.R. § 550.707 (2026) § 550.707   Computation of severance pay fund.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_707.md)
- [5 C.F.R. § 550.708 (2026) § 550.708   Creditable service.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_708.md)
- [5 C.F.R. § 550.709 (2026) § 550.709   Accrual and payment of severance pay.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_709.md)
- [5 C.F.R. § 550.710 (2026) § 550.710   Suspension of severance pay.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_710.md)
- [5 C.F.R. § 550.711 (2026) § 550.711   Termination of severance pay entitlement.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_711.md)
- [5 C.F.R. § 550.712 (2026) § 550.712   Reemployment; recredit of service.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_712.md)
- [5 C.F.R. § 550.713 (2026) § 550.713   Records.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_713.md)
- [5 C.F.R. § 550.714 (2026) § 550.714   Panama Canal Commission employees.](https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_714.md)

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/CFR_T5_P550_S550_704. Check the current official text before relying on it. Not legal advice.
