- Q: Who is responsible for tracking my hours and salary after retirement?
- A. Both you and your employer are responsible for tracking the number of hours you work and your salary. Record-keeping forms indicating your hourly and salary limits will be sent to you each school year when you return to work after retirement for a PSRS-covered employer in a certificated position. It is important to check with your employer to make sure you both are tracking consistently and that your records agree. If a discrepancy exists between your record and your employer’s, we consider your employer’s record to be official.
- Q. What hours do I count toward the 550-hour limit?
- A. You are required to count all your time necessary to complete the requirements of your position, including if you are:
- Required to have a planning period
- Given a lunch break and must remain at the school
- Required to grade papers
- Responsible for supervising students between events and when traveling
- Q. The class I teach is only 50 minutes long. Do I count that as an hour (60 minutes) toward the 550-hour limit?
- A. If you are only required to work 50 minutes, and you only work 50 minutes, then it is appropriate to count 50 minutes toward your 550-hour limit. However, it is always a good idea to check with your employer to be sure you understand how your employer is tracking time.
- Q. Do I count my lunch period toward the 550-hour limit?
- A. If you are being paid for your lunch period and are required to remain at school during lunch, it counts toward the 550-hour limit. If you are not receiving pay for your lunch period and are able to leave for lunch, then you should not count the time toward the limit.
- Q. How is the 50% salary limit calculated?
- A. The 50% salary limit is determined by your employer and based on the annual compensation payable under the employer’s salary schedule for the position or positions, given your level of work experience and education. For example, if your employer determines the annual compensation payable for the position is $50,000, your salary limit is $25,000.
- Q. If I work part-time or as a temporary-substitute in a certificated position for a PSRS-covered employer after retirement, how many days in a school year can I work?
- A. The law limits the number of hours you can work as a retiree, not the number of days. The number of days you can work depends on your employer’s method of counting the hours in a work day. The number of hours counted as a full day varies from district to district. You should discuss with your employer how to track your employment and make sure you both track consistently.
- Q. How is the 50% salary limit calculated if my employer is also paying for my health insurance?
- A. The amount the employer pays toward health insurance premiums for an active, full-time employee must be added to your full-time annual base salary. In addition, the amount the employer pays toward your health insurance must be counted as part of
Your full-time annual salary is $40,000. The employer pays $3,000 toward the annual health insurance premiums of active, full-time employees, and the annual value of the health insurance your employer is providing you, as a retiree, is $2,000.$40,000 + $3,000 = $43,00050% x $43,000 = $21,500$21,500 - $2,000 = $19,500Therefore, you can earn up to $19,500 for the school year before reaching your salary limit.
- Q. How is the 50% salary limit calculated if I am working in multiple positions?
- A. The 50% salary limit is based on your highest paid position in which you are working at least 20% of your total hours.
- Q. If I receive a paid holiday, what do I count toward the 550-hour and 50% salary limits?
- A. The pay you receive for a paid holiday counts toward the 50% salary limit. But the hours paid for that day do not count toward the 550-hour limit because you did not “work” the hours.
- Q. Do the 550-hour and 50% salary limits also apply to disability retirees?
- A. If you receive PSRS disability retirement benefits and are younger than age 60, you cannot be employed in any capacity by a PSRS/PEERS-covered employer, or work for any non-covered employer and earn a salary that is considered a livelihood by PSRS (more than $18,000 per year). Once you reach age 60, you can work in a certificated position on a part-time or as a temporary-substitute for a covered employer without affecting your benefit payments, but the 550-hour and 50% salary limits apply.
- Q. How does volunteering after retirement affect my limits when working after retirement?
- A. You can be a volunteer for any PSRS-covered employer for an unlimited amount of time with no effect on your benefits as long as you are not being paid a salary or benefits by the employer. If you are volunteering and working in a certificated position at the same school district and the duties are not substantially different, then the volunteer time counts toward the 550-hour limit.
- Q. Can I work in a non-certificated position for one employer and also in a certificated position for another covered employer (or in another position at the same employer) with two separate work limits?
- A. Yes. A retired teacher can work simultaneously in a certificated position with the 550-hour and 50% of salary limits at one employer and also work in a non-certificated position with the $15,000 salary limit and no limit on hours.The work at the
two jobs must be tracked separately, as you would effectively have a different limit for each of the two positions.
A retired teacher works as a substitute teacher at Central School District. This is a certificated position. This work is subject to a limit of 550 hours per school year and an annual salary limit of no more than 50% of the annual compensation payable under the employer’s salary schedule for the position, given her level of work experience and education.She also drives a school bus for the same employer. This is a non-certificated position. For this work, she is subject to a separate salary limit of $15,000 per school year with no limit on her hours.
- Q. If I exceed the working after retirement limits, when do my benefits stop?
- A. You forfeit your benefits effective the month in which you exceed any limit that applies to you. Benefits do not resume until you end all post-retirement employment that counts toward the limit you exceeded, or when a new school year begins on July 1. If you are also working in a post-retirement position(s) subject to a separate limit, that work does not need to stop. For example, if you exceed the 550-hour limit on employment in certificated positions on April 10, you forfeit your April benefit payment. If you end all of your employment in certificated positions in April, your benefit payments resume in May. If your employment in certificated positions continues, your benefit payments will resume the month following your employment end date or at the start of a new school year.
- Q. Can signing a contract as part of a retirement incentive cause me to lose retirement benefits?
- A. Yes. For a period of one month from your PSRS retirement date, you cannot be under contract for employment, or have an agreement to continue employment, at a PSRS-covered employer in any capacity. This includes retirement incentives or separation agreements that require you to work or volunteer in any capacity after retirement in return for salary, including paid health insurance benefits. If you sign such a contract or have such an agreement, you are not considered to have properly terminated your employment and are not eligible to receive PSRS benefits.