Working Retirees
As a retire, you can retun to work in either a PERS , SRS or FURS, and JRS- covered position in a limited capacity. You cannot return to work as a retiree in any other MPERA-administered retirement system.
If you do wish to return to work as a retiree, the law imposes some limits. You must sever employment and have been paid all compensation that you are owed. You must also have received at least one month of retirement benefits. You cannot have a verbal or written agreement that you will be returning to work. There are also some system-specific limitations as well:
Starting July 1, 2011: You must terminate service for at least 90 days before returning to work under covered employment.
For PERS members under the age of 65 - your benefit will be reduced $1.00 for each $1.00 earned from PERS employment in excess of 960 hours. Only the hours you are paid to work will count toward the 960-hour limit. This does not include paid sick or annual leave. The limit applies to each calendar year and MPERA will reduce your benefit only if you exceed the limit.
For PERS members who are age 65 to 70 1/2 years of age - the limit is either the 960 hours or an earning limitation, whichever is higher. The earning limitation is equal to your Highest Average Compensation (HAC) adjusted for inflation. The sum of your retirement benefit and all PERS-associated earnings must be less than the earnings limitations (HAC adjusted for inflation). PERS-associated earnings include all income from the employer whether or not the posistion is covered by PERS. Earnings that you have from other sources will not apply to the limit. Both limits apply to a single calendar year and only reduce benefits for those years that your hours or earnings exceed the limit. Your benefit will be reduced $1.00 for each $1.00 earned from covered employment exceeding the limit.
For PERS members over the age of 70 1/2, there are no limits restricting the earnings of retired members.
The above limits apply only to retirees of PERS and to employment covered by PERS. The PERS covers most positions with the state, university system, local governments, and school districts. If unsure, ask potential employers if PERS covers the position before you start work. Any retiree working in a covered job may be become an active member at anytime. If you become an active member, MPERA will stop your benefit. You may re-retire later and we will recalculate your retirement benefit based on the additional service.
An SRS retiree may earn up to $5,000.00. The retiree's retirement benefit will be reduced $1.00 for each $3.00 earned in excess of the $5,000.00 limit from covered employment.
An SRS retiree may work up to 480 hours. If they exceed 480 hours, they must become an active member.
A FURS retiree may work up to 480 hours during any calendar year in a FURS-covered position. If they exceed 480 hours, they must become an active member.
A retired judge is entitled to receive compensation in an amount equal to the daily salary then applicable to the position up to a total of 180 days in a calendar year. This amount will be limited after 180 days.
