The number of federal retirement applications stuck in backlog limbo at the end of October dropped to less than 15,000 from more than 40,000 only a year earlier, the Office of Personnel Management said in its monthly progress report.

The number of claims received for the month (7,484) was about 1,000 less than expected while the number processed (11,027) was less than expected by 473. At the end of the month, the backlog stood at 14,176 compared to the office's projection of 19,142.

Until claims are processed, retirees receive only a small portion of the benefits owed them.

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October marked the third consecutive month that the backlog was smaller than had been forecast. By then end of the year, the backlog was expected to fall to 12,942. That figure was calculated before this month's totals were reported.

The office has been whittling away at a backlog rooted in several causes. First, came a wave of retirees from the U.S. Postal Service. Then the sequestration imposed after Congress couldn't come to a budget a deal in March slashed the agency's budget for processing claims. Finally, the process is hampered by the Office of Personnel Management's outdated benefits processing system. Attempts to modernize it have proved fruitless.

The agency administers the benefits of 2.5 million retirees. About 100,000 benefits applications are submitted each year.

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