Retirement Monitor - October 2021

In this issue: All in a Day's Work; Automating the Payroll Reporting Process; Retirees Returning to Work Earnings Allowance; National Retirement Security Month 2021; North Carolina Supplemental Plans Plan Administration; State Health Plan Open Enrollment; Supplemental Benefits Open Enrollment for Retirees Ends Soon

Table of Contents

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Graphic with the words "All in a Day's Work and the NC Total Retirement Plans logo

 

Graphic with a triangle and the text 5th at 5:00 in it and exclamation points around itEmployee and Employer contributions are due via the monthly Contribution Summary Instructions (CSI) by 5:00 p.m. on the 5th business day of the month along with the Monthly ORBIT payroll report. This schedule information is also located on our website.

 

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Automating the Payroll Reporting Process

Beginning on the 9/2021 payroll report, we will no longer include screen shots of errors on rejection reports. The reports will go out as is. Please share this information with your payroll vendor/IT department as the employer will be responsible for finding errors, correcting their reports and resubmitting them. This is to prepare employers for automation of this process.

 

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2021 Earnings Allowance:  $34,800

The Earnings Allowance is the greater of:

  • 50% of your compensation, excluding termination payments, reported to the Retirement System during the 12 months of service preceding the effective date of your retirement, OR
  • $34,800 (2021 amount) These earnings restrictions apply for the 12 months immediately following retirement and for each calendar year following the year of retirement. (This amt. is adjusted at the beginning of each calendar year by the CPI)

Generally, TSERS members must be retired at least six months before returning to work for a TSERS employer in any capacity.

LGERS members cannot return to work for an LGERS employer during the month in which their retirement becomes effective.

We received guidance in October 2019 addressing separation from service requirement under the Internal Revenue Code and related agencies.

A summary of return-to-work laws and other information for new retirees can be found on myNCRetirement.com.

Employers can check current and potential employees for retired status in ORBIT. This will help you in reporting rehired retirees and avoid potential penalties.

  1. Access the ORBIT Employer Self-Service page.
  2. Under “Reporting” click “Check Retired Status.”
  3. Here you can upload a list of employee social security numbers which will be run against the Retirement System retiree list to generate a report of members who are actively receiving a benefit from TSERS or LGERS.

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National Retirement Security Month is underway, and we are gearing up for National Retirement Security Week – October 17-23. Follow us on Facebook to keep up with our #NRSM21 Campaign. We invite you and your employees to take our National Retirement Security Month survey, which is also linked through myNCRetirement.com.

We already have well over 6,000 members signed up for the #NRSM21 events and are adding additional webinars based on increased demand. Join us as we share insights and tools to help our members save for a secure retirement.

Retirement…It’s in YOUR Future!

 

Click here for the events listed below.

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North Carolina Supplemental Plans (NC 401(k) and NC 457 Plans and the NC 403(b) Program) Plan Administration

You play a vital role in the plans' administration and that's why it's important you have resources to help you maintain plan compliance and easy access to the information you need. From a team of dedicated Retirement Education Counselors to a designated Relationship Specialist team and a website filled with resources, you have support for your day-to-day needs.

 

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Attention State Health Plan Agencies:

The State Health Plan Open Enrollment is Oct. 11-29, 2021. View your 2022 Open Enrollment  information now!

 

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🦷👓👂 Open Enrollment is also underway for our new and current retirees. North Carolina Supplemental Benefits (Dental, Vision & Identity Theft Protection) are offered through Pierce Insurance. Find out more at ncretiree.com.  Open Enrollment for Supplemental Benefits ends on October 29, 2021. 🦷👓👂

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