Home     Forum     401k     401k Rollovers
    Register   Login   Members   Search   FAQs     Recent Posts    




Working and drawing a pension

Reply to topic
Money Talk > Retirement Planning

Author Thread
TrailingBoomer
New Member


Cash: $ 0.65

Posts: 3
Joined: 14 Nov 2014

Working and drawing a pension  Reply with quote  

Hi,
My not-for-profit employer (large hospital system) informed employees this year that new regulations for pensions (yes, a traditional defined pension benefit!) means that if you retire from the company before age 65, you may not work for them for a year. Again, my employer is telling us that this is a regulatory requirement.

Yesterday, a retirement and benefits specialist came to speak in our staff meeting. She informed us that prior to age 65, we could not both draw retirement and work for a different company.

No regulation has been cited.

Has anyone heard of this before? Know all the ins-and-outs?

Thanks!
Post Fri Nov 14, 2014 6:35 pm
 View user's profile Send private message
Wino
Senior Member


Cash: $ 113.80

Posts: 560
Joined: 03 Aug 2012
Location: Dubai
 Reply with quote  

I find this hard to believe. I know there are now rules about government pensions while working for other government entities, but I have heard of nothing dealing with non-profits. How would they even know you are working elsewhere?
Post Sat Nov 15, 2014 8:10 am
 View user's profile Send private message
TrailingBoomer
New Member


Cash: $ 0.65

Posts: 3
Joined: 14 Nov 2014

 Reply with quote  

I trawled thru the Benefits page, and found a one page, employee-oriented flyer (i.e., no technical speak).

It says nothing about not working for another company.

It does say that if you retire before age 65, you may not be employed by them for one year, and re-employment may not be pre-agreed upon. You may be re-employed within the year if you have a significant change in your financial status - again, this cannot be agreed upon prior to retirement.

Finally, it says this was a recent clarification by the IRS.

I'm toying with options in my head, one of which includes retiring sometime soon (~2yrs?), and going to work part time somewhere else. This would have thrown a wrench in that!

If anyone knows anything about the IRS ruling, I'd be interested in knowing more.

Thanks!
Post Sat Nov 15, 2014 4:11 pm
 View user's profile Send private message
oldguy
Senior Member


Cash: $ 715.40

Posts: 3479
Joined: 21 May 2006
Location: arizona
 Reply with quote  

quote:
Again, my employer is telling us that this is a regulatory requirement.


Don't know of an IRS reg - but several states have some new double-dip laws. IL, AL, OH, CA - I haven't read it but I've heard that IL is especially 'anti'.
Post Sat Nov 15, 2014 5:39 pm
 View user's profile Send private message
TrailingBoomer
New Member


Cash: $ 0.65

Posts: 3
Joined: 14 Nov 2014

 Reply with quote  

quote:
Originally posted by oldguy

Don't know of an IRS reg - but several states have some new double-dip laws. IL, AL, OH, CA - I haven't read it but I've heard that IL is especially 'anti'.


Yes, but don't they pertain to government pensions, not private employers? When I've searched "double dip", the hits are in regards to government employees. I'm not!
Post Sat Nov 15, 2014 5:42 pm
 View user's profile Send private message
robertf57
New Poster


Cash: $ 0.40

Posts: 2
Joined: 08 Sep 2014
Location: AZ
 Reply with quote  

Looks like you have been given some confused advice.... From what our HR folks have told us..
1) You cannot "retire" before full retirement age and come back to work for the employer and collect both retirement and the pension unless you have been away from the employer for 1 year
2) In our state you also cannot go work for another government entity that has a related defined benefit plan: they look at this the same as above
3) There is nothing that prevents you from working in the private sector and collecting your government pension.
Post Sun May 17, 2015 9:48 am
 View user's profile Send private message

Reply to topic
Forum Jump:
Jump to:  
  Display posts from previous:      





Money Talk © 2003-2016