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Rehiring Retirees

Jul 18, 2022, 11:06 AM by MOSERS

Upon meeting the termination and reemployment rules, retirees may return to work and continue receiving their monthly pension payment, as long as their position is not a benefit-eligible position.

However, if a retiree returns to work in a benefit-eligible position, their monthly pension benefit stops for any month in which they are actively employed. For example, if a retiree returns to work in a benefit-eligible position on July 27, they will not receive their pension benefit on the last working day of July. In this example, it would have been more advantageous for the retiree to delay their return to work to August 1. Please keep this provision in mind when rehiring retirees. 

A retiree reemployed in a benefit-eligible position will accrue additional service and salary credit if they work continuously for one year. When they retire again, their monthly pension payment will equal the amount they were receiving when they returned to work plus any additional benefit they may have earned during reemployment.