As the coronavirus COVID-19 state of emergency continues to put a strain on the services offered by public employers, the Public Employees’ Retirement System of Mississippi (PERS) wants to remind covered employers of the return-to-work options available to retirees who could help with staffing needs.
Return-to-Work Options While Keeping Retirement Benefits
PERS recognizes that not all retirees can or should return to service, especially since some of them are among those most vulnerable to the virus. But for those who are healthy, able, and wanting to help, there are avenues to allow for them to return to service without penalty to their retirement benefits.
Under existing laws and regulations and assuming a retiree has had a bona fide 90-day break in service, PERS retirees may do the following without suspending their retirement benefits:
- Work half time as determined by the employer, for half pay (For example, 20 hours a week or 80 hours a month) or
- Work up to a maximum of 25 percent of the retiree’s average compensation used for calculating retirement benefits. This may mean the retiree could work practically full time for a short duration depending on his or her personal circumstances. This option could be the most helpful, as PERS operates on a fiscal year and workers could be on hand to help through the end of June.
Independent Contract Workers
Volunteering
A retiree who has had a bona fide 90-day break in service may be allowed to volunteer in certain circumstances.
Working Full Time with Suspended Benefits
Mississippi statute also provides for retirees to suspend their retirement benefits and work full time for full pay. However, if that time exceeds six months, their benefit is recalculated to include the new service.
