As a NYSLRS retiree, you can work and still receive your pension. However, there may be a limit on how much you can earn each year without affecting your NYSLRS pension.
Working While Receiving a Service Retirement Benefit
Note: Special rules apply to elected officials.
Under Retirement and Social Security Law (RSSL) Section 212, an earnings limit of $35,000 generally applies to NYSLRS retirees who:
- Are under age 65;
- Receive a service retirement benefit (see disability benefit rules below); and
- Return to work for a public employer (including contract or consultant work, if you joined NYSLRS on or after May 31, 1973).
There is no earnings limit if you are self-employed or if you work for:
- The federal government;
- A state or local government in another state; or
- A private employer.
Also, beginning in the calendar year you turn 65, the earnings limit no longer applies.
Update Regarding the Earnings Limit
The earnings limit for retirees employed by school districts or Boards of Cooperative Educational Services (BOCES) is suspended through June 30, 2027. (May 2025 legislation extended the date from 2025 to 2027.) This earnings limit suspension does not apply to retirees who work for a college, university or charter school.
For most other retirees under the age of 65, the $35,000 limit is in effect and applies to the entire calendar year in 2026.
NYSLRS retirees can return to work part-time for a public employer. However, Internal Revenue Service (IRS) rules and RSSL require a member have a bona fide termination from public service prior to their date of retirement.
When the employer and member expect the member will return to employment after their date of retirement, the member’s termination does not constitute a bona fide termination. If there is no bona fide termination, the service retirement will be voided. Any pension payments made in error due to a retirement that was invalid will be recovered by the Retirement System.
Working While Receiving a Disability Retirement Benefit
Almost all earnings for retirees who are working while receiving a disability retirement benefit are limited whether they work for a public or private employer. The limit is specific to each retiree. To find out your earnings limit, please contact us.
How the Earnings Limit Applies
The limit applies to all earnings for the calendar year, including money earned in the calendar year, but paid in a different calendar year (for example earned in December but paid in January).
The limit does not apply to:
- Payments received after you retire from your employer, such as for vacation or sick time you earned when you were still working; and/or
- A retroactive payment for a new union contract, if the earnings are for employment before you retired.
Reporting Your Earnings
It is your responsibility to notify NYSLRS if you earn more than the limit. If you know you are going to exceed the limit, contact us at least a month before you do.
You can message us using the secure contact form, or you can fax a letter to 518-402-2498. Be sure to include the name of your employer, the approximate date you expect to exceed the limit and a daytime phone number in case we have questions.
If You Exceed the Earnings Limit
If you earn more than the limit, you must:
- Pay back NYSLRS for the pension payments you received after the date you reached the limit. If you continue to work, your pension will be suspended for the remainder of the calendar year and resume the following January.
OR - Rejoin NYSLRS, in which case your pension will be suspended until you retire again at some future date. (You’d need to reapply.)
Earnings Limit Waiver
Under RSSL Section 211, employers may employ you and waive the earnings limit if they get approval before hiring you. Approval is not automatic; it is based on the employer’s needs and your qualifications. In most cases, the New York State Department of Civil Service is the approving agency. A Section 211 waiver covers a fixed period, normally up to two years. Notwithstanding RSSL Sections 211 or 212, however, a prearranged agreement to rehire an employee made prior to their date of retirement does not constitute a bona fide termination.
For More Information
Before you decide to return to work, please read our publication What If I Work After Retirement? It includes information such as how earnings limits are calculated for retirees receiving a disability retirement benefit, consequences to consider before returning to NYSLRS membership and more. If you have questions, please contact us.
Hello,
After I retire from teaching, if I work for a private contractor as a laborer that is contracted by a state agency to work on a state property, do I need a 211 waiver to make over 35k/yr?
If you are a teacher and a member of the New York State Teachers’ Retirement System (NYSTRS), please contact NYSTRS to discuss working after retirement.
If you are a NYSLRS member, and you retire under a regular service retirement, you can receive your retirement benefit and return to work if your new employer is not a public employer in New York State. So, you do not need prior approval, and your earnings are unlimited, if you work for a private employer.
To ensure your new employer is not a public employer, please contact our customer service representatives using our secure contact form. Filling out the secure form allows NYSLRS to safely contact you about your personal account information.
I retired Nov 2025. I am 63. I am looking into working for agency
Cell staff and the job is a NYS facility. As I read this will
Not affect my pension correct? And I will be able to make greater than 35,000 correct?
The earnings limit of $35,000 generally applies to NYSLRS retirees who:
If you are going to be working for a New York State public employer and you are under age 65, you would be subject to the limit.
If you have account-specific questions, you can message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
Hello,
I’m seeking clarification regarding the annual $35,000 earnings cap for retirees.
Specifically, does the $35,000 cap apply only to earnings received after my official retirement date through the end of the calendar year, or does it include both pre-retirement earnings and post-retirement earnings within the same calendar year?
Thank you for confirming.
The limit applies to money you earn after you retire. If you retire and then receive a payment from your employer, such as for vacation or sick time you earned when you were still working, that payment wouldn’t count toward the limit.
Why isn’t there a waiver in place for nurses? There is a nursing shortage in NYS yet no blanket waiver the same for school teachers etc?
NYSLRS administers benefits in accordance with State law. The earnings limit suspension for retirees employed by school districts and Boards of Cooperative Educational Services (BOCES) became law in 2023. It would take a similar type law to expand the current post-retirement exemption for other types of employment.
Hello,
What is the cut off for not exceeding the 35k requirement cap? Is it the NYS fiscal year or the calendar year from January 1 to December 31st ?
Thanks
The limit applies to the calendar year from January 1 to December 31.
The $35,000 now aloted for retirees needs to be increased to at least $50k. Inflation and prices of groceries, rent, vehicles, gas and electric bills are increasing every year with no increase for what retiree’s can make. I don’t think retired people are being ridiculous with this request but, upping the allowance $15k to $50,000 would help many retired people.
I collect a NYS pension. I went back to work part time. I will make $35,000 this year. I am 64 Will be 65 April of 2026.
I have 2 questions.
1- Can I work and make as much as I want for the same employer, the next year 2026?
2- Can I collect Social Security and my pension at the same time and not get penalized?
There is generally no restriction on your earnings beginning in the calendar year you turn 65. So if you turn 65 in April 2026, the earnings limit of $35,000 would no longer apply beginning in 2026.
You can collect your Social Security and NYSLRS pension benefits at the same time—the earnings limit only applies to employment for a public employer in New York State.
However, if you are going to earn more than the limit in 2025 and you are not employed by a school district or BOCES, you should contact us at least a month before you go over the limit. You can email us using the secure contact form or fax a letter to 518-402-2498. Be sure to include the name of your employer, the approximate date that you expect to earn more than the limit and your daytime phone number in case we have questions.
Só when I’m am forced into a ordinary disability retirement, I can’t make more than 35k in public or private sector? How is anyone supppse to survive that ?
The earnings limit for retirees working while receiving a disability retirement benefit is specific to each retiree.
To find out your earnings limit, please call our customer service representatives at 866-805-0990 (press 2, then follow the prompts). You can also message them using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
Please be aware, to determine your limit, we will need to contact your former employer for earnings information, and, once we receive it, we will notify you of your limit.
I plan to retire from New York and collect my pension; I am under 65. When I move to SC and work, will I still be under the $35,000 cap? Does the cap only apply when you continue to work in NY? Thank you in advance.
There is no earnings limit for NYSLRS retirees who are self-employed or who work for:
I am 66 and 6 months old. I work full time for the state of New York. I can be collecting my Social Security with no penalties after I earn a certain amount?
NYSLRS doesn’t administer Social Security benefits. However, you may find this Retirement Age Calculator on the Social Security Administration website helpful.
I currently work for Towns A (full time) and B (part time). I plan to retire from Town A December 31st and continuing to work for Town B. Do I have to be terminated from Town B for 1 day after I retire from A? Do I have to be terminated from town B at all?
Yes, in order to retire, you must stop work for all of your public employers, and your last day on payroll must be no later than the day before your retirement date.
Internal Revenue Service (IRS) rules and the Retirement and Social Security Law (RSSL) require a member have a bona fide termination from public service prior to their date of retirement. Bona fide termination is defined as a member stopping paid service with their employer prior to their date of retirement. In addition, a member and employer must have no prearranged agreement to return the member to service after their date of retirement.
Where the employer and member expect the member will return to employment after their date of retirement, the member risks the termination not constituting a bona fide termination. If there is no bona fide termination, the service retirement will be voided. Any pension payments made in error due to a retirement that was invalid will be recovered by the Retirement System.
Additionally, when you apply to retire, we will notify your employer that your last day working for them must be no later than the day before your date of retirement.
Under RSSL Sections 211 and 212, employers may employ retirees with certain limitations. Notwithstanding these sections, however, a prearranged agreement to rehire the employee risks the termination not constituting a bona fide termination. Any questions related to a bona fide termination, or Sections 211 and 212 of the RSSL should be directed to NYSLRS.
Please read our publication, What If I Work After Retirement?. For additional questions, message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
I plan to transfer service from a sister retirement system to NYSLRS. Some of it was earned while I was a full-time employee with NYS. I was told that that part of my service will not be credited as service but “put on the top.” I have killed my self to earn this service credit, working on weekends in addition to my NYS job and now discover I am not going to be given my justly deserved service credit. Can you please tell me what exactly does it mean that the service credit will instead be “put on the top?” Will I receive just compensation for the time I served at the other agency? I am transferring in anticipation that I will lower my tier. Thank you.
NYSLRS members can only earn one year of service credit per calendar year, so if you had a full-time position in NYSLRS and a part-time position in your other system at the same time, you will not receive additional credit for the part-time service. However, if you receive salary from two employers during your final average earnings (FAE) period, both salaries will be used in calculating your FAE, resulting in a higher FAE. (Final average earnings are the average of your highest consecutive years of earnings, and used in calculating your pension amount.)
For account-specific questions about your service transfer, please message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
Am I correctly understanding that there is a Retirement income cap under age 65 if I work for a municipality, government entity(school, college/university, authority) within New York State, but this income cap does not apply to the private sector, or municipalities outside of New York State or Federal Government?
Yes, the $35,000 earnings limit generally applies to NYSLRS retirees who are under age 65, receive a service retirement benefit and return to work for a New York State public employer (including contract or consultant work, if you joined NYSLRS on or after May 31, 1973). There is no earnings limit if you are self-employed or if you work for the federal government, a state or local government in another state, or a private employer. Also, beginning in the calendar year you turn 65, the earnings limit no longer applies.
However, if you receive a disability retirement benefit, almost all earnings are limited whether you work for a public or private employer.
For additional questions about working after retirement, please read our publication, What If I Work After Retirement?
Probably in the wrong place for this question but appreciate any response. I applied for retirement and during the process put in my direct deposit information. Do I still need to fill out the “Electronic Funds Transfer Direct Deposit Enrollment Application” and upload that at the end of the process? Thank you, Tom
If you have a joint account holder on your bank account, then yes. You’ll need to complete the Electronic Funds Transfer Direct Deposit Enrollment Application (RS6370) and have your joint account holder sign the form. If you have a joint account holder and didn’t upload the completed form when submitting your application for retirement, you can upload the completed form later.
After you apply for retirement, within a couple weeks, we will mail you a letter letting you know whether we need additional information or documents from you.
For questions about your specific account and, please call our customer service representatives at 866-805-0990. Press 2, then follow the prompts. You can also message them using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
I am a retiree and I work for Mill Neck School for the Deaf. This school receives funding from NYState to operate as a 4201 school. I thought my earning limit of 35K is exempt because I work for a school district. I received a letter that says I am subject to the 35 K earning limit. Can I appeal that decision?
For questions about your specific situation, please call our customer service representatives at 866-805-0990/ Press 2, then follow the prompts. You can also message them using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
Is there any word that when they reinstate the cap in June of 2027 will the cap be raised.. 35K a year is not a lot of money.
If there are future developments concerning the earnings limit, we will update this blog post, the NYSLRS website and communicate through the monthly NYSLRS Member E-News.
Budget bill S3005B was signed into law. On page 167, it clearly raises the earnings limitation to 65,000. Why hasnt the website been updates yet?
Senate budget bill S.3005-B was not passed by the New York State Assembly and was not signed into law by the Governor. The bill was amended to Senate budget bill S.3005-C. That version, which is what was signed into law, did not include a provision to raise the Retirement and Social Security Law Section 212 post-retirement earnings limit.
“There is no earnings limit if you are self-employed….”
What if someone is a self-employed consultant, who does work for a public employer? What if this public employer is only one of several clients?
Generally, work for a public employer includes contract or consultant work, if you joined NYSLRS on or after May 31, 1973.
For account-specific questions, please call our customer service representatives at 866-805-0990, press 2, then follow the prompts. You can also message them using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
does the 35,000 cap applies to 55b/c hires, thank you?
The earnings limit of $35,000 generally applies to NYSLRS retirees under age 65 who receive a service retirement benefit and return to work for a public employer.
Almost all earnings are limited for retirees working while receiving a NYSLRS disability retirement benefit, whether they work for a public or private employer. The limit is specific to each retiree. If you are retired from NYSLRS and considering returning to public employment, please contact us for account-specific information.
What’s the definition of a calendar year? is it December to December?
A calendar year is the traditional year, January 1-December 31.
Other times, you might see us reference a State fiscal year, which runs April 1-March 31.
Hi, as a retiree working for a school district, would the legislation below continue to waive the earnings cap?
Earnings in Retirement
Chapter 55 of the Laws of 2025 (S3005C/A3005C)
Specifically Part VV
Signed into law May 9, 2025
Effective May 9, 2025
Expires June 30, 2027
Part VV is a two-year extension of Chapter 55 of the Laws of 2024 (Part GG), which was due to expire June 30, 2025. The provision amends Section 211 of the Retirement and Social Security Law to allow a NYSTRS retiree to be employed and earn compensation in a position at a school district or board of cooperative educational services (BOCES) without suspension or diminution of their retirement allowance.
Earnings received from April 9, 2022 to June 30, 2027 will not be applied to the standard Section 212 earnings after retirement limitation of $35,000 in New York State public employment per calendar year. Post-retirement employment with a charter school, community college, SUNY, or any other public employment is not covered by this law and is still subject to the $35,000 calendar year earnings limitation.
Yes, the earnings limit for retirees employed by school districts or Boards of Cooperative Educational Services (BOCES) is suspended through June 30, 2027. (This legislation extended the date from 2025 to 2027.) This suspension of the earnings limit does not apply to retirees who work for a college, university or charter school.
For most other retirees under the age of 65, the $35,000 limit is in effect and applies to the entire calendar year in 2025.
Can you please explain in detail why there is a $35,000 cap for retiree’s who work in the public sector but not for work in the private sector?
The decision on whether to adopt benefit enhancements or pass new legislation comes from the State Legislature and the Governor. The retirement system (NYSLRS) administers legislation and programs that are signed into law.
Yes please. I just need one good reason. Still trying to figure out why this makes so much sense to someone. Especially at this time when most public sector employers cannot hire people fast enough or even get capable people to apply.
School districts got extended to 2027 in the budget. The rest of us were tossed to the curb once again. Additionally the Legislature put a pause on their earnings cap. Thanks for nothing.
I have been told there is a bill to extend the earning cap exemption currently in effect out until June 30, 2027. That bill has not been voted on or signed into effect as of now.
PART VV
2 Section 1. Section 3 of part HH of chapter 56 of the laws of 2022
3 amending the retirement and social security law relating to waiving
4 approval and income limitations on retirees employed in school districts
5 and board of cooperative educational services, as amended by section 1
6 of part GG of chapter 55 of the laws of 2024, is amended to read as
7 follows:
8 § 3. This act shall take effect immediately and shall expire and be
9 deemed repealed June 30, [2025] 2027.
10 § 2. This act shall take effect immediately.
FISCAL NOTE.–Pursuant to Legislative Law, Section 50:
This bill would amend Part HH of Chapter 56 of the laws of 2022, most
recently amended by Part GG of Chapter 55 of the laws of 2024, to extend
the waiver of the earnings-after-retirement limitation for two more
years to June 30, 2027 for retired members who return to work with a
school district or a board of cooperative educational services (BOCES).
The current expiration date is June 30, 2025 for the waiver of this
limit. This act shall take effect immediately and shall be deemed
repealed on June 30, 2027.
“NYSLRS retirees can return to work part-time for a public employer. However, a retiree must have had a “bona fide” termination of employment. This means the retiree was removed from their employer’s payroll before the effective date of their retirement, and the member and their employer had no expectation of further work after the retirement date. If these conditions are not met, the retiree’s service retirement can be voided and pension payments received will be recovered by NYSLRS.”
I am confused by this statement. If I retire, my employer and I cannot plan ahead to come back to work part-time?
That’s right. Internal Revenue Service (IRS) rules and the Retirement and Social Security Law (RSSL) require a member have a bona fide termination from public service prior to their date of retirement.
Bona fide termination is defined as a member stopping paid service with their employer prior to their date of retirement. In addition, the member and employer must have no prearranged agreement to return the member to service after their date of retirement.
If an employee over the age of 65 retires from a municipality and subsequently returns to work on a part time basis, is there still a $36K earnings limit?
Generally, there is no restriction on earnings for NYSLRS retirees—even if you return to public employment—beginning in the calendar year you turn 65.
For more information, please read our publication, Life Changes: What If I Work After Retirement?
For questions about your specific situation, you can message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
Is there any proposed legislation to raise the retiree earnings limit firm 35k for municipalities other than school district employees? Why do schools get the special treatment and not other workers under65?
The decision on whether to adopt benefit enhancements or pass new legislation comes from the State Legislature and the Governor. The retirement system (NYSLRS) administers legislation and programs that are signed into law.
If there are future developments concerning the earnings limit, we will update this blog post, the NYSLRS website and communicate through the monthly NYSLRS Member E-News.
Is there any movement or decisions been made?
If there are future developments concerning the earnings limit, we will update this blog post, the NYSLRS website and communicate through the monthly NYSLRS Member E-News.
Are there any plans to extend the suspension of the current earnings limit cap after June 2025?
If there are future developments concerning the earnings limit, we will update this blog post, the NYSLRS website and communicate via the monthly NYSLRS Member E-News.
Looks like Senate proposed changes to 2026 executive budget that will extend to June of 2027 for retirees working in schools and to increase the limit from $35,000 to $65,000. This still needs to make it part of the final budget and be voted on, so just proposals at this time, but there is some hope.
The dems will yank it at the last minute like always
I too heard this about a week ago from “someone in the know”, however, I heard the term “60K”, not “65K” — either way, potentially great news. We should be hearing later this week.
Fingers’ crossed!
Searching the NYS Senate and Assembly websites, I found two parallel bills that look like they are attempting similar things. However, the proposed Assembly Bill has a cap of $100,000 while the Senate Bill has a cap of $50,000. Below are the bill numbers and the summary that can be found on the website:
NYS Assembly Bill A5580–Increases the amount of money a public retirement system retiree may earn in a position of public service to $100,000
NYS Senate Bill S5579- Increases the amount of money a public retirement system retiree may earn in a position of public service to $50,000
Is there any pending legislation to extend the earnings limit suspension that expires on June 30,2025, for retired teachers under 65 years old?
If there are future developments concerning the earnings limit, we will update this blog post, the NYSLRS website and communicate via the monthly NYSLRS Member E-News.
When the Retirement system withholds my retirement payments due to the $35,000 cap, am I entitled to service credit for the months I am not receiving payments? In my case that’s 7 months a year. With the current tiers being 5 years vested. I would be able to collect another retirement in 9 years. How can the system and the legislation withhold my money and then not allow me working credit towards a new retirement.
Generally, retirees who exceed the earnings limit have two options:
OR
Rejoining NYSLRS may increase your total service credit. However, if you are in Tier 2 through 6 and you earn less than two years of new service credit after you rejoin, your original pension would be reinstated when you retire the second time. Any new service credit and earnings would not affect your pension.
For more information, read our What If I Work After Retirement? publication and our When Retirees Rejoin NYSLRS blog post.
For questions about your particular situation, please message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
When the Retirement system withholds my retirement payments due to the $35,000 cap, am I entitled to service credit for the months I am not receiving payments? In my case that’s 7 months a year. With the current tiers being 5 years vested. I would be able to collect another retirement in 9 years. How can the system and the legislation withhold my money and then not allow me working credit towards a new retirement.
Generally, retirees who exceed the earnings limit have two options:
OR
Rejoining NYSLRS may increase your total service credit. However, if you are in Tier 2 through 6 and you earn less than two years of new service credit after you rejoin, your original pension would be reinstated when you retire the second time. Any new service credit and earnings would not affect your pension.
For more information, read our What If I Work After Retirement? publication and our When Retirees Rejoin NYSLRS blog post.
For questions about your particular situation, please message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
I recently retired at 66 and eight months. My understanding is there is no income limitation is that correct?
Generally, there is no restriction on earnings for NYSLRS retirees—even if you return to public employment—beginning in the calendar year you turn 65.
For more information, please read our publication What If I Work After Retirement?
For questions about your specific situation, you can message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
The 35k cap does not reflect local economy and is outdated. What happened to raising it to 50k? Frankly why is there a cap in the first place?
What happened to the increase to 50k limit. It is not correct to keep such a low limit in this economy.
Guess I’m retiring again can’t help my town when my pension gets cut out in May . Not worth the grief.
How much money can you make while collecting Loss of performance pension? Who do I contact to find that out.
If you retired under a disability retirement benefit, please message our customer service representatives using our secure contact form. Filling out the secure form allows them to safely contact you about your personal account information.
Can you make contributions to a 457 plan, or any other deferred compensation plan, to stay under the cap?
In 2025 earnings from 1/1/25 until the end of the current school year do not count against the cap for school district employees. Is this correct?
That’s correct. Money earned while the limit is suspended for retirees employed by a school district or a Board of Cooperative Educational Services (BOCES) does not count toward the limit.
The $35,000 earnings limit is based on gross earnings, before any deductions for taxes or contributions to retirement savings plans such as a 457(b) plan. So, those contributions would not help you stay under the limit.
You are allowed to contribute to a 403b if the district lets you have the account. They go
By other amount after your contributions.
The $35,000 earnings limit would also be based on gross earnings before any deductions for a 403(b) retirement savings plan.
On hold today 2:05 hours dat after day not 1 customer service rep answers or gets on phone!! Absolutely uncalled for!!
We’re sorry for the trouble. Your message is important to us, and we have sent you a private message in response.
very nice post