|
Will my disability allowance be affected if my post-retirement earnings exceed a certain level?
- Amount of Post-Retirement Earnings
Yes, Section 91A of Chapter 32 of the Massachusetts General Laws provides that if the amount of your annual retirement allowance, when added to your post retirement earnings, is in excess of the regular compensation you would have received if you had continued in service in the grade you held on your retirement plus $5,000, your retirement allowance may be reduced or suspended. The reduction or suspension of benefits will correspond directly with the amount that is in excess.
This adjustment, based on your actual earnings from the preceding year, is made annually. This information may also be used to make a permanent modification of your pension.
Certain payments including bonuses, overtime, severance pay, any and all unused vacation or sick leave, early retirement incentives, or any other payments made as a result of giving notice of retirement are not considered part of regular compensation.
- Public Sector Work
Another section of the retirement law further limits the amount that any retiree may be paid for public sector work in Massachusetts. It is the retiree’s responsibility to advise the person responsible for paying compensation that he or she is a public retiree and that, as a result, his or her post-retirement earnings in the public sector are limited.
Can a retirement board simply reduce or terminate my benefits without any notice or without giving me a chance to be heard?
- Notice of Board Action
Prior to any termination or reduction of benefits pursuant to Section 91A, you must be given written notice and an opportunity to be heard by your retirement board. If your board does terminate or reduce your benefits, you have the right to appeal these actions to the Contributory Retirement Appeal Board (CRAB).
How can I determine how much regular compensation is currently being paid for the position from which I retired?
- Current Compensation for Former Position
You may contact the personnel offce with which you dealt as an active member.
|