Legislation Restoring 2.55% Benefit Factor, Increasing Working After Retirement Limits One Step Closer to Becoming Law
As of May 9, legislation impacting PSRS/PEERS members was passed by both the Missouri House and Senate. This legislation restores the 2.55% benefit factor for PSRS members and increases working after retirement limits for PSRS retirees working in non-certificated positions, among other changes. All provisions in the bill positively impact PSRS/PEERS and our members. The governor has until July 14 to sign the legislation into law or veto it. If the governor takes no action by July 14, the bill becomes law.
Senate Bill 75 (HCS/SS/SB 75) contains several provisions, outlined below. If the bill becomes law, it will take effect August 28, 2023.
- Restores the 2.55% benefit factor for PSRS members who have 32 or more years of service at retirement
- Increases the salary limit for PSRS retirees working in non-certificated positions to 133% of the annual Social Security earnings limit between August 28, 2023 to June 30, 2028, and then to 100% of the annual Social Security earnings limit thereafter
- Modifies the Critical Shortage Employment provision to expand the allowed lifetime limit on time worked from two to four years and increase the potential number of Critical Shortage positions available for PSRS retirees who are teaching
- Allows certain retirees who nominated a same-sex domestic partner as beneficiary for lifetime monthly benefits under a Joint-and-Survivor benefit plan to have their monthly retirement benefit “pop-up” to the amount they would have received if they had not elected to receive reduced monthly benefits
Since the General Assembly began the 2023 legislative session on Wednesday January 4, 2023, more than 2,300 bills have been filed. PSRS/PEERS is currently tracking 256 pieces of legislation. The 2023 legislative session ends on Friday May 12.
Any further developments that may impact the Retirement Systems or our members will be shared on this website, in member newsletters and via email.