HB562 Summary

• Increases the annual compensation limit for retirees of the Teachers' Retirement System and Employees' Retirement System from $17,000 to $30,000, effective in calendar year 2016.

• Allows retirees to earn post-retirement income without suspension of benefits if they are not employed in a permanent full-time capacity and stay within the annual earning limit.

• Establishes automatic annual adjustments to the earnings limit beginning in 2017, indexed to the Consumer Price Index for all urban consumers, rounded to the nearest $1,000.

• Requires retirees to provide written notice to the retirement system and employer within 30 days if they will be working on a full-time or permanent basis or will exceed the annual earning limit.

• Became effective on the first day of the third month following passage and approval by the Governor.