Before Retirees Go Back to Work

Advise retirees to contact VRS if they are considering returning to VRS-covered employment or returning to part-time employment with their former employer and how that may affect their benefits. They also can consult the VRS Web site and their Retiree Handbook for more information.
Advise retirees receiving Social Security benefits to call the Social Security Administration (SSA) at 1-800-772-1213, visit the Social Security Administration Web Site or contact their local SSA office. Earnings during retirement could affect their eligibility for Social Security.
To prevent overpayment of the monthly retirement benefit, you and the retiree must submit a Request for Termination of Monthly Benefit (VRS-7) to VRS immediately upon the retiree’s re-employment in a covered position.

Hiring Returning Retirees

Is the retiree returning to VRS-covered employment?
Did the retiree work for the same employer as a covered member? The Commonwealth of Virginia, including state agencies and public colleges and universities, is considered one employer. Local school divisions and political subdivisions are considered separate employers.
If the retiree is returning to non-covered employment with his or her former employer, has he or she had a bona fide break in service of at least 30 days over a period the retiree would normally have worked?

When a member retires again, he or she must submit a new retirement application and retire under the same benefit payout option that the member selected for the first retirement.
The monthly benefit will be recalculated based on the additional service the member earned during re-employment and any changes in his or her average final compensation (AFC).
The retiree will once again be eligible for the Cost-of-Living Adjustment (COLA). The retiree’s first COLA after retiring again will be effective on July 1 following the first full calendar year from the member’s second retirement date