How to Properly Terminate Employment

You must properly terminate your pre-retirement employment to be eligible for service retirement benefits. PSRS and PEERS each require a separation period of one month from your retirement date.

To properly terminate employment:

• You must end all employment with your PSRS/PEERS-covered employers before your retirement date.
• You cannot return to work for a PSRS/PEERS-covered employer in any capacity for one month after your retirement date. This includes volunteer work if you later become a paid employee with the same employer in the same, or a similar, position.
• You cannot enter into any agreement, written or unwritten, for future employment at a PSRS/PEERS-covered employer in any capacity until after receiving your first retirement benefit payment. Agreements include any type of early retirement incentive or separation agreement that requires you to return to work or volunteer in any capacity after retirement in return for salary, including health insurance benefits. 

If you have not properly terminated your pre-retirement employment, you will be required to repay any benefits received while ineligible, including a Partial Lump Sum Option (PLSO) payment, and may be required to pay contributions on your salary until you properly terminate your employment.  

Have questions? We're here to help. Contact us at (800) 392-6848 or www.psrs-peers.org.