Returning to Work After Retirement
If you retire and then return to work with a participating employer, your retirement benefits may be suspended, and you may earn an additional benefit under the Plan.
If you are scheduled to work 1,000 hours or more per year with a participating employer, your retirement benefits will be suspended unless you have reached your IRS required beginning date. If you have reached your IRS required beginning date, you will continue to receive your retirement benefits, even though you have returned to work. In either case, you will earn an additional benefit under the Plan if your employer pays the required Assessments.
Upon your subsequent retirement (or “reretirement”), you will receive a retirement benefit that consists of the following:
- The retirement benefit that you were previously receiving, adjusted for cost-of-living increases, if any, paid in the form of payment that you previously elected; and
- The retirement benefit that is only based on the Credited Service and Earnings after your return to active service, payable in the form of payment that you elect on your subsequent retirement date.
These restrictions on working after retirement apply only if you return to work with a participating employer and are scheduled to work 1,000 hours or more per year at that participating employer. If you are scheduled to work less than 1,000 hours per year at a participating employer, if you return to work with an Episcopal employer that does not participate in the Plan, or if you work outside The Episcopal Church, your retirement benefits will not be impacted.
Medicare Secondary Payer
If you are age 65 or older and are eligible for active health coverage through your employer, then Medicare will not be the primary payer for your health claims. Instead, you should receive coverage under your employer’s health plan for active employees. This is true regardless of whether or not your retirement benefits under the Plan are suspended.
If you continue to work in The Episcopal Church after retirement (whether that work is for a participating employer or not) and are eligible for your employer’s active health coverage, you should receive coverage under your employer’s active health plan. This means that you will not be eligible for coverage under a Group Medicare Advantage plan (or other retiree health plan) offered by The Episcopal Church Medical Trust.
There is an exception from the Medicare Secondary Payer rules for active employees who are employed by small employers. Learn more about the Medicare Secondary Payer Small Employer Exception.