Employers Responsible for Notifying DRS When Hiring Retirees

The retirement benefits of a retiree from one of the State’s retirement systems may be affected by returning to work. RCW 41.50.139 (formerly in RCW 41.50.130) requires employers to ask all new employees if they are retirees of any Washington State retirement system.

Employers are required to obtain a written form from all new employees indicating whether they have ever been retired from a Washington State retirement system. The Department of Retirement Systems (DRS) provides the Retirement Status Form (pdf, 115 kb) to document this information. After the employee has completed the form, it should be filed in the employee's permanent record.

If you fail to report the employment of the retiree to DRS, you will be liable for any pension overpayments made to the retiree. In addition, if you report incorrect information that results in a retiree receiving a pension benefit in violation of the retirement rules, you are liable for any resulting overpayment.

DRS will work with you to accurately inform both you and retirees working for you when they are approaching their hourly limits and the associated impact to their pensions.

This chart (pdf, 384 kb) describes how to report retirees that return to work for your organization. For more information on your responsibilities when hiring retirees, go to the DRS website at http://www.drs.wa.gov/employer/EmployerHandbook/chpt5/retirees_summary.htm.

Employers with questions can send an e-mail to drsemployer@drs.wa.gov or call Employer Support Services at 360-664-7200 (press option 2) or l-800-547-6657 (press option 6 then option 2).

 
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