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Becoming a Postal Service Worker: USPS Employment Eligibility Requirements and Benefits (page 2)

By Mark Alan Stewart
McGraw-Hill Professional

USPS Compensation and Employment Benefits

The U.S. Postal Service provides compensation packages to its employees that are very competitive with those offered by most private-sector employers. New Postal Service employees in career positions are usually paid an hourly wage. In 2006, the beginning wage for entry-level career positions was between $15 and $20 per hour. Overtime pay is provided at the rate of one-and-a-half times the regular wage beyond 8 hours during any workday or beyond 40 hours during a workweek. Employees who work night shifts or on Sundays receive premium pay as well. Most employees receive regular wage or salary increases.

For most job seekers, the first question about any particular job that comes to mind is, “How much does the job pay?” But other questions soon come to mind as well—for example:

Is health insurance provided?

How many days off do I get each year?

Is a 401(k) or similar savings program available?

One of the attractions of working for the USPS is the generous benefits package offered to employees. Here’s a brief description of those benefits. Keep in mind that there may be a waiting period for some benefits, and that some benefits may be available only to full-time or career USPS employees.

Health Insurance

A variety of health-insurance plans, including HMOs (health maintenance organizations) and traditional health-insurance plans, are available to qualifying USPS employees through the Federal Health Benefits (FEHB) Program. Most of the costs are paid by the Postal Service. The portion of the costs paid for by the employee (in the form of premiums) offsets the employee’s taxable income.

Social Security and Medicare

Both types of coverage are provided to all USPS employees.

Retirement Benefits

Through a federal program, the USPS provides a defined-benefit annuity program, which guarantees a certain level of income during retirement, as well as disability benefits to qualifying employees.

Life Insurance

A basic life-insurance plan paid for entirely by the Postal Service is provided to qualifying USPS employees, who also have the option to purchase additional coverage by payroll deduction. All coverage is provided through the Federal Employees Group Life Insurance (FEGLI) Program.

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