In the last issue, we told you about the Separation of Service Resolution passed by the IMRF Board. At their August meeting, the IMRF Board passed another resolution making additional important changes to the Return to Work Policy. These changes could impact your retirement planning.
Current Rule
Currently, if an IMRF retiree becomes employed in a position that is expected to meet the hourly standard as an IMRF-qualifying position (600 or 1,000 hours, as applicable), the retiree's pension payments must stop immediately upon employment and the retiree is required to re-enroll in IMRF.
New Rule Effective January 1, 2021
With this new Board resolution, an IMRF retiree can work in an IMRF-qualifying position up until the hourly standard (600 or 1,000 hours, as applicable) is met. Once the retiree reaches the hourly standard, he or she is required to either stop receiving pension payments and re-enroll in IMRF, or stop working in his or her IMRF-qualified position until reaching the 12-month anniversary of his or her employment date. On the employment anniversary date, the return to work period is reset for the next 12 months.
To learn more about this new resolution and about the Return to Work policies, click here.
To read more on the Separation of Service Resolution discussed in last month's Fundamentals issue, click here.
