<font face="Verdana, Arial, Helvetica" size="2">For those agencies that forbid the utilization of miles, most employees accrue the miles until they leave government service, and use the miles at that time. </font>
kokonutz has posted in the past that his mother, a retired fed employee, intended to do just that, but upon her retirement received a letter threatening to reduce her retirement pension if she used the miles.
Because these policies do vary from one agency to another (although all forbid personal use), one should consult their own agencies regs for specifics. While I'm not familiar with what agency would allow upgrades from business to first on three-class aircraft, the FAA, for example, does not.
[This message has been edited by letiole (edited 06-29-2001).]