Current through Register Vol. 24-18, September 15, 2024
(1)
How soon
can I return to work after I retire without impacting my SERS retirement
benefit?
(a) You may begin working
immediately after you retire without impacting your SERS retirement benefit if:
(i) You go to work for a private
employer;
(ii) You are an
independent contractor as defined in WAC
415-02-110; or
(iii) Your only employment is as an elected
official and you end your SERS membership under
RCW
41.35.030 (2)(b).
(b) If you retire and then return
to work sooner than 30 consecutive calendar days from your accrual date
(effective retirement date), your monthly retirement benefit will be reduced in
accordance with
RCW
41.35.060(1) until you
remain absent for at least 30 consecutive calendar days.
(c) If you retire and remain absent at least
30 consecutive calendar days from your accrual date, if you meet the definition
of separation in WAC
415-02-115, you may return to
work in any position for any employer whose retirement plan is administered by
the department of retirement systems (DRS) or a public institution of higher
education, without impacting your SERS retirement benefit until you reach your
applicable hour limit.
(d) If you
worked prior to retirement in an ineligible position and continue to work
beyond retirement, this will not be considered a violation of the 30
consecutive days in (b) and (c) of this subsection assuming that separation
from your employer as defined in WAC
415-02-115 was satisfied.
Examples:
(i) Pat works for Evergreen School District
and fully separates employment at the age of 60. Pat then moves to Spokane and
begins employment with the Spokane Library District in a position that is not
eligible for retirement benefits. This employment continues and the position
remains ineligible for retirement benefits. At age 65 Pat is eligible to begin
collecting the school employees' retirement system (SERS) retirement benefit
earned while working at Evergreen School District, without terminating
employment from Spokane Library District.
(ii) Skyler works for Odessa School District
until age 65 in a retirement eligible position, then begins working part time
for the same school in a position that is not eligible for retirement. Skyler
is not eligible to begin receiving their retirement benefit because they have
not yet separated from employment with the employer they participated in the
retirement system with.
(iii)
Parker works for Spokane Public Schools until age 63 at which point, they
separate employment and have their name placed on the on-call substitute
teacher list at a number of local school districts. Parker substitutes
occasionally for the Deer Park, Mead, and Cheney schools. At age 65 they are
eligible to begin collecting the TRS benefit that was earned while working at
the Spokane Public Schools without terminating employment from the substitute
positions.
(iv) Taylor works for
two different employers over the same period of time. The position with
employer one is a retirement eligible position and the position with employer
two does not meet the requirements for retirement eligibility. Prior to age 65
Taylor separates from employment with employer one but continues to work for
employer two in the ineligible position. When Taylor reaches age 65 they are
eligible to begin receiving their retirement benefit because they have
separated from employment with the employer they participated in the retirement
system with.
(2)
What is the annual hour
limit? All retirees including those retired under the alternate early
retirement factors after separating from employment and being absent at least
30 consecutive calendar days as described in subsection (1)(c) of this section,
your annual hour limit will be based on the position you return to.
(a)
No limit. You may work as
many hours as you want without affecting your retirement benefit if you work:
(i) In a position that is not eligible for
membership in a DRS or higher education retirement plan;
(ii) As an independent contractor;
(iii) For a private employer; or
(iv) If you end your SERS membership as an
elected official under
RCW
41.35.030
(2)(b).
(b)
Eight hundred sixty-seven-hour
limit. You may work up to 867 hours in a calendar year, in a position
which is eligible for membership in a DRS or public institution of higher
education retirement plan, before your retirement benefit is
suspended.
(c)
One thousand
forty-hour limit. From March 23, 2022, through June 30, 2025, you may
work up to 1,040 hours in a calendar year, at a school district in a
nonadministrative position that is eligible for membership in a DRS retirement
plan, before your retirement allowance is suspended.
(3)
What hours count toward the annual
hour limit?
(a)
Counted toward
the annual hour limit: All compensated hours that are worked in an
eligible position covered by a DRS or higher education retirement plan,
including the use of earned sick leave, vacation days, paid holidays,
compensatory time, and cashouts of compensatory time.
(b)
Not counted toward the annual hour
limit: Cashouts of unused sick and vacation leave.
(4)
What happens if I work more than
the annual hour limit?
(a) If you work
more than the annual hour limit, your retirement benefit will be suspended. The
suspension will be effective the day after you exceed the hour limit. DRS will
prorate your retirement benefit for the month in which you exceed the
limit.
(b) Your retirement benefit
will be restarted beginning the next calendar year (January) or the day after
you terminate all eligible employment, whichever occurs first.
(c) DRS will recover any overpayments made to
you for the month(s) in which you exceeded the annual hour limit and received a
retirement benefit. See
RCW
41.50.130.
(5)
Can I return to SERS
membership?
(a) If you retire from
SERS, you have the option to return to membership if you are employed by a SERS
employer and meet the eligibility criteria. The option to return to membership
is prospective from the first day of the month following the month in which you
request to return to membership. See
RCW
41.35.030(3).
(b) If you reenter SERS membership and later
choose to retire again, DRS will recalculate your retirement benefit under the
applicable statutes and regulations. See WAC
415-110-830. You will be subject
to the return to work rules in place at the time of your
reretirement.
(c) If you are a
retiree from another retirement system administered by DRS, you may choose to
enter SERS membership if you are eligible. See WAC
415-110-725. The option to enter
membership is prospective from the first day of the month following the month
in which you request membership. See
RCW
41.04.270 and
41.35.030.
(6)
What if I retired from SERS and
another DRS retirement system?
If you return to work after retirement from SERS and another
DRS retirement system, see WAC
415-113-300 to determine the
effect of returning to work.
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Note:
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You may have a choice of returning to membership. See
the following WAC sections for more information: WAC
415-108-725,
415-110-725,
415-112-546,
415-106-725, and
415-104-111.
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(7)
Terms used.
(a) Accrual date -
RCW
41.35.450,
41.35.640.
(b) Elected official - WAC
415-110-550.
(c) Eligible position -
RCW
41.35.010; WAC
415-110-680 through
415-110-700.
(d) Ineligible position -
RCW
41.35.010.
(e) Member -
RCW
41.35.010.
(f) Month - Calendar month as defined in WAC
415-02-030.
(g) Nonadministrative position - WAC
415-02-030.
(h) Public institution of higher education -
RCW
28B.10.400.
(i) SERS - School employees' retirement
system.
Statutory Authority:
RCW
41.50.050(5),
41.40.010(42), 41.40.037. 04-04-037, §415-110-710, filed 1/29/04,
effective 3/1/04. Statutory Authority:
RCW
41.50.050(5),
41.04.270, 41.26.030,
41.32.010,
41.32.025,
41.32.480,
41.32.500, 41.32.570,
41.32.765,
41.32.795,
41.32.802,
41.32.855, 41.32.860,
41.32.862,
41.35.010,
41.35.030,
41.35.060, 41.35.450,
41.35.640,
41.40.010,
41.40.023,
41.40.037, 41.40.150,
41.40.193,
41.40.680,
41.40.750,
41.40.801. 02-02-060, §415-110-710, filed 12/28/01,
effective 1/1/02. Statutory Authority:
Chapters
41.32, 41.34,
41.35,
41.50 RCW. 01-01-059, §415-110-710, filed 12/12/00,
effective 1/12/01.
