CalPERS’ employer account management chief briefed stakeholders on Jan. 15 about the rules for returning to work after retirement, repeating several points of law and addressing confusion about school hiring.

Key rules summarized: Brad Hanson said a retiree who returns to full‑time service with a CalPERS employer must submit a reinstatement application (Publication 37) and that doing so can raise a later retirement allowance because the member can earn additional service credit, a higher benefit factor (older age at re‑retirement), and possibly a higher final compensation if the required conditions are met. Hanson said members should consult a regional retirement counselor before taking action.

Retired annuitant appointments: Hanson explained there are two common post‑retirement appointment types. “Interim appointments” (available only to contracting public agencies) require a governing‑body resolution and cannot be used repeatedly for the same vacancy. “Temporary extra‑help” appointments (available to school, state and local employers) are the most common and should be used for short‑term projects, backlogs or substitutes, Hanson said.

Confusion about schools: Multiple speakers noted confusion among school districts after a non‑CalPERS memo last year and a dense circular letter from CalPERS. Hanson and stakeholder representatives said that temporary extra‑help retired‑annuitant appointments remain available to school districts for appropriate, time‑limited duties such as substitutes, bus drivers or cafeteria workers. Hanson said CalPERS will revise communications and present clarifying guidance at an upcoming February school advisory committee meeting.

Wait periods, bona fide separation and hour limits: Hanson reviewed the 180‑day wait that CalPERS applies to retirees returning as retired annuitants, and the IRS‑derived bona fide separation requirement (60 days in some IRS contexts) that prevents prearranged return‑to‑work agreements. He reiterated the 960‑hour fiscal‑year limit on retired‑annuitant work, warned that exceeding it may trigger repayment of retirement warrants, and said CalPERS’ system issues warnings to members at 600 and 700 hours.

Disability retirees and special rules: Hanson noted disability retirees face additional limits: they must not perform duties that are the basis of the disability finding; an earnings limit can apply until normal retirement age is reached; and in some cases rehiring as a permanent employee is possible but requires CalPERS prior approval.

Consequences and remedies: Violations can result in reinstatement to active status, repayment of retirement checks and reversal of cost‑of‑living adjustments. Hanson said CalPERS evaluates violations case by case and that a remedy can sometimes be applied (for example, returning retirement warrants or offering actuarially reduced repayments) rather than a full retroactive reinstatement.

Resources and next steps: Hanson urged employers and retirees to use Pub. 33 and Pub. 37 materials on calpers.ca.gov, the myCalPERS portal and regional office counselors. He provided a staff mailbox for employer pre‑review: working_after_retirement@calpers.ca.gov. CalPERS staff said they will update written guidance and checklists to reduce recurring misinterpretation.

Ending: Stakeholders asked CalPERS to accelerate clearer examples and templates for schools; CalPERS agreed to reissue clarified guidance and to present the subject at the next school advisory committee session.