House passes working after retirement overhaulScott Rothschild
The Kansas House voted 114-0 this morning to make major changes in the rules for going back to work after retirement in the Kansas Public Employees Retirement System. The Senate will vote next, and passage sends the bill to Gov. Sam Brownback.
The conference committee agreement on SB 21 removes the “earnings limit” that has applied to most retirees from the KPERS system if they return to work for the same or another KPERS employer. It also will require future retirees to wait 180 days before returning to work if under age 62. The current 60 day waiting period is retained for those 62 and older.
The bill also simplifies the contribution rate school districts must pay if they hire retirees. For those earning less than $25,000 per year, the actuarial contribution rate, currently 12.01 percent year, is required. For earnings over $25,000, the contribution rate is 30 percent.
The changes will be welcomed by school leaders who argued current law makes it more to difficult hire qualified individuals who are retired but faced limits on what they could earn without losing benefits or salary; and that multiple contribution rates were unnecessarily confusing.