DAVE, I RECENTLY RETIRED AND AM WORKING. HAS THE EARNINGS LIMIT CHANGED DUE TO COVID?
Working in retirement is not an oxymoron. Studies show that more than two-thirds of retirees will engage in some form of employment in retirement. The reasons range from the need for additional income to the desire to stay connected in some meaningful way. Before you commit to that new opportunity it’s important to know if you are limited to the income you can receive.
Here’s a quick look at the current law governing working in retirement. For service retirees in the New York State Teachers Retirement System there is no limit on all earnings for those age 65 and older, for those working in the private sector, out of state or for the Federal Government.
Sections 211 and 212 of the Retirement and Social Security Law govern New York State public employment by service retirees under age 65. The current limit is $35,000 a calendar year. Working under Section 211 requires an employer to obtain a waiver.
During the COVID-19 pandemic the earnings limit was temporarily suspended by a New York State executive order. Those working in NYS public employment from March 27, 2020 through December 31, 2020 were not restricted by the annual $35,000 earnings limit for calendar 2020.
Because the governor rescinded the executive order effective on June 25, 2021, earnings from June 25, 2021 through December 31, 2021 will count toward the $35,000 annual earning limit for calendar year 2021.
If you are considering or have specific questions about your employment and earnings in retirement you should contact NYSTRS directly at (800) 348-7298.
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