Arkansas Administrative Code › Agency 088 - Arkansas Teacher Retirement System › Rule 088.00.07-008 - Rule No. 10-2 - Return to Covered Employment

Current through Register Vol. 49, No. 6, June, 2024
DEFINITIONS
Covered salary
means remuneration paid from a
			 covered employer to an ATRS retirant on which waiver contributions are
			 paid.
Earnings limitation
means the limitation applicable
			 to a member's retirement annuity when a retiree receives remuneration from a
			 covered employer.
Normal retirement age
means sixty-five (65) years of
			 age.
Retirant
means a member receiving an ATRS retirement
			 annuity.
Retires
means that a member ceases to be active and
			 is eligible to receive an ATRS annuity.
AGE AND SERVICE RETIRANT
1. If a retirant returns to work service for
		  a covered employer 
		  1 without rescinding retirement under §
		  24-7-717, then, for each twelve-month period ending June 30, the amount of the
		  member's retirement annuity shall be subject to a limitation equivalent to
		  twice the limitations imposed by the Social Security retirement
		  test.2
A. A
		  retirant reaching the System's normal retirement age may return to service
		  without being subject to the earnings limitations.3
		  Normal retirement age for the System means sixty-five (65) years of
		  age.
B. Effective July 1, 1992, a
		  retirant, who is under normal retirement age, may receive earnings from a
		  covered employer up to twice the Social Security earnings limitation amount
		  without affecting his/her ATRS annuity benefits. If his/her ATRS covered
		  earnings exceed that amount, ATRS will reduce the member's retirement annuity
		  $1 for each $2 earned in covered salary above the earnings limitation
		  amount.
C For each year ending June
		  30, the Social Security retirement test to be considered shall be the test in
		  effect for the calendar year beginning the January 1 immediately preceding June
		  30. The retirant's earnings shall be his or her remuneration for the employment
		  for the year ending June 30.
D
i. For those retirants exceeding the
		  earnings limitation, the System will suspend annuity payments to collect the
		  reduction when the earnings limitation is exceeded. If at the end of the fiscal
		  year, the System has not received from the suspension the amount due from the
		  retirant exceeding the earnings limitation, the System may carry over
		  suspension of benefits into the next fiscal year.
ii. Upon written request by the retirant upon
		  reemployment, the System may initiate an equal monthly reduction of the
		  retirant's retirement annuity in the fiscal year in which the earnings
		  limitation will be exceeded to collect the earnings limitation
		  reduction.
iii. The amount
		  recovered by ATRS will not exceed the amount of benefits paid during the
		  year(s) in which the earnings limitation is/was exceeded.
iv. In extraordinary hardship circumstances,
		  the retirant may request an alternate method of repayment other than total
		  suspension of benefits for a violation of the earnings limitation.
v. For questions not covered by this rule,
		  see Rule No. 9-7 (Error Corrections and Collection of
		  Overpayments).