If you return to work after retirement, it’s important to understand how it may affect your VRS benefit.
Know Your Options
If you accept a job with a private company or any employer that does not participate in VRS, your benefits are not affected. However, if you return to work for a VRS-participating employer — such as a state agency, a public school division or a participating local government — specific rules apply.
Your benefits will end if you take a position with any employer (VRS-participating or not) that requires the same or similar duties as your previous VRS-covered position.
If You Work Part-Time
Most retirees can work for a VRS-participating employer in a part-time, non-covered position and still receive their monthly benefit. To qualify as “non-covered,” the position must be limited to no more than 80% of the hours of a comparable full-time role and have no VRS benefits.
If you return to work for the same employer from which you retired, you must have a “bona fide” break in service of at least one full calendar month before you begin working. You and your employer must certify that there has been no verbal or written offer of reemployment after retirement. The Commonwealth of Virginia, including all state agencies and public colleges, is considered one employer.
If You Return to Full-Time Employment
If you return to a full-time, permanent position with a VRS-participating employer, your retirement benefits will stop and you will be an active member, earning service credit and contributing to the system.
Returning to full-time work also resets your cost-of-living adjustments. Any COLAs you were previously receiving will not carry over. When you retire a second time, your new benefit amount could potentially be lower than your previous benefit.
Critical Shortage and School Security Roles
There is an exception for those returning to Virginia public schools. You may work full-time and continue receiving your retirement benefit if you fill a designated critical shortage position or serve as a retiree school security officer.
Critical shortage roles, which are determined by the Virginia Department of Education, include:
- Teachers, including principals and assistant principals.
- Specialized student support positions such as school nurses, social workers and psychologists.
- Bus drivers.
Although not classified as critical shortage, retirees may also return to work as school security officers while continuing to receive a monthly benefit. Positions are open only to retired sworn law enforcement officers.
Before returning to work in a critical shortage role or as a retiree school security officer, you must have a break in service of at least six consecutive months, during which you do not work for any VRS-participating employer. These roles are temporary and do not earn additional service credit.
Before You Decide
Check your eligibility before you accept a new position. Watch the “Considerations Before You Return to Work” video and review detailed guidelines on the VRS website. For personalized assistance, call VRS at 888-827-3847 or schedule a counseling appointment.
