Employment of Retirees
Retirees of SERS or another Ohio system may be employed by a school in a position for which SERS contributions are required without limitation on the number of days or earnings. If they are employed in a SERS-covered position, they are required to contribute to SERS.
They also must wait two months from the effective date of retirement before reentering public employment. If not, they lose the retirement payment for each month they have worked during the two-month waiting period.
If a school hires a retiree to the same position the retiree had before retiring, and that position is filled by a vote of the members of a board or commission, Ohio law requires public notice of the reemployment to be given at least 60 days prior to the start of the reemployment. A public hearing also must be conducted between 15 and 30 days prior to the reemployed employee’s first day of work. Information on the hearing must be included in the public notice. To certify compliance with this law, complete a Reemployed Retiree Notification Form and submit a copy to SERS.
Once a retiree is enrolled in SERS, remit contributions and reports, along with any other required information, in the same manner as you would for a non-retired employee.
Health Care Eligibility Changes for Reemployed Retirees
Individuals who retire and then take a new job or go back to work for a public or private employer, may temporarily lose their eligibility for SERS’ health care coverage while they are reemployed. Once they stop working, their eligibility will be restored. This also applies to spouses, but not children.
This affects individuals who began employment on or after January 1, 2016, and were:
- Under age 65 and not yet eligible for Medicare, or
- Eligible but not enrolled in Medicare Part B
Individuals not affected are those:
- Enrolled in Medicare Part A and B, or Medicare Part B only, or
- Who began current employment before January 1, 2016
SERS’ health care eligibility is lost when an individual:
- Is eligible for medical and prescription coverage through the new employer, or
- Is not eligible for medical and prescription coverage through the new employer, but other employees in comparable positions are eligible for coverage
Individuals will not lose eligibility if they do not have access to employer coverage or if costs employees in comparable positions more than what full-time employees pay.
Disability Benefit Recipients
A SERS disability benefit recipient cannot be employed by a SERS-covered employer. If so, the disability benefit ends. Schools that hire a disability benefit recipient must file notice of the employment, including the date of employment, with SERS. If you employ a disability recipient before you notify SERS, the total amount of disability benefits paid during the period of employment prior to the notice shall be paid from your Foundation Program funds.
A disability benefit recipient of another Ohio retirement system should contact the other system to determine any restrictions on returning to other public employment. If receiving a disability benefit from another Ohio retirement, that individual is not eligible to apply for a SERS disability benefit.