Earnings Limitation Report

Employees who retire early as members of the Employees’ or Teachers’ Systems and return to work for any participating employer are subject to an earnings limitation for the first 12 months of retirement. Employees who accept service or early retirement and have been retired for more than 12 months are subject to an earnings limitation if they return to work for the same employer. In these types of employment, if the earnings in a calendar year exceed the earnings limit, the monthly retirement payment will be reduced by 1 dollar for each dollar earned over the limit.

The Earnings Limitation report provides information about employee wages within a specified date range. The wage information is accumulated from the check history for all checks with an issue date between the specified start and end dates. 

Menu Path

Choose Human Resources from the main navigation menu, then choose State. Click Earnings Limitation Report.

Submission Period

For a specified date range.

Selection Rule

Includes all the employees who were paid wages. Wages related to excluded pay codes are excluded.

Prerequisite

To exclude the wages related to a pay code from the Earnings Limitation Report, select Exclude Earnings on the General tab of the Pay Codes page.

Create File

1. Select the Start Date and End Date.

2. Select the Sort Method. 

3. Create a hard copy of the report to verify data before you create the electronic file:

   1. Under File Type, select Hard Copy.

   2. Under File Format, select PDF or Excel.

   3. If you have permission to view the entire Social Security Number (without masking) and want to include the entire Social Security Number, select Print Full Social Security Number.

   4. Click Create, then click Yes. 
      The Earnings Limitation report is created. 

4. Save the file and navigate to the folder containing the report file. 

5. Inspect the file. Update data if required.

6. Repeat these steps until all required data is included.

7. Create the electronic file:

   1. Under File Type, select Magnetic Media.

   2. Click Create, then click Yes.
      The electronic file is created. 

8. Save the file and click OK.