NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A7109
SPONSOR: Fall TITLE OF BILL: An act to amend the retirement and social security
law, in relation to increasing the retiree public earnings cap
PURPOSE:
This bill would increase the amount that a public retiree under sixty-
five years of age may earn in public employment without a reduction of
his or her retirement benefits.
SUMMARY OF PROVISIONS:
The bill amends subdivision 2 of Section 212 of the Retirement and
Social Security Law. It would allow a public retiree to earn up to
$50,000 in public employment without reducing the retiree's pension.
JUSTIFICATION:
Under current law, retirees may earn up to $30,000 from public employ-
ment without diminution of retirement earnings. From 1996 through 2004
this earnings limit was raised each year. The last time it was increased
was in 2007 when it was raised from $27,500 to $30,000. Increasing the
amount up to $50,000 for retirees under 65 years of age would allow
state and local governments the ability to hire experienced employees at
a significant reduced cost without paying for employee benefits.
Pursuant to subdivision one of section 212, there are no earning limita-
tions applicable to retired persons who are age sixty-five or older.
LEGISLATIVE HISTORY:
2018: A.7872-A - Referred to Governmental Employees
FISCAL IMPLICATIONS: None.
EFFECTIVE DATE:
Immediately.
