Working After Retirement

When retiring from Wichita State University, you want to make sure you understand the retirement plan rules relating to any return to service.  The sections below outline important information for Kansas Board of Regents (KBOR) and Kansas Public Employees Retirement System (KPERS) retirees who are considering working after retirement.

Kansas Board of Regents (KBOR)

The Kansas Board of Regents require a bona fide separation of service in order to be able to access your KBOR mandatory plan retirement funds.  Access to KBOR voluntary plan retirement funds also requires a bona fide separation in most cases.   

What does bona fide separation mean?  You can access the KBOR information on this subject here.  Essentially a bona fide separation means that you have no plans to return to service at any KBOR institution.  Once you have intentions of returning to service, you may face a tax liability for any distributions that occur, and after returning to service you will no longer be able to access retirement funds until you separate service.  Please note that this applies to returning to service in ANY position at a KBOR institution and is not limited to benefit-eligible positions.

Kansas Public Employees Retirement System (KPERS)

KPERS has very strict rules surrounding the topic of working after retirement and there are serious penalties for violating these rules.   KPERS has information available on working after retirement here

Kansas law requires KPERS retirees who are under age 62 when they retire to have a 180 day wait period before they are able to return to service at any KPERS agency.  KPERS retirees who are age 62 or older when they retire have a 60 day wait period.  

Retirees can’t make prearrangements to return to work. That means you can’t communicate in any way with your employer about an intent to return to work. That’s before you retire and during the waiting period. You’ll verify this as part of your retirement application. Kansas law defines “prearrangement” as a situation where the employer and employee reasonably anticipate employment after retirement. Interviews, applications, and even written and verbal communication about further employment are prearrangements.

If you violate the wait period or rules surrounding prearrangements, the penalty is that your benefits are suspended starting the month you returned to work and ending six months after you end employment. You’ll also repay benefits paid to you while you were working after retirement.

Please note that this applies to returning to work for any KPERS agency in any position, not just a benefit-eligible position that would participate in KPERS.  If you are unsure about if an agency is a KPERS agency, you should ask them prior to applying and KPERS has a list of retirement plan affiliated employers here if an agency is For instance, Wichita State University is considered a KPERS employer.  This means all positions, including non-benefit eligible temporary or lecturer positions and positions participating in the KBOR retirement plan would be considered returning to work for a KPERS agency.

 

Who to Contact

HR Total Rewards

TotalRewards@wichita.edu 

 

 

SME:  CT

Revised:  08/27/2020