Whether you take a job in retirement to supplement your income, stay active, pursue a dream or explore a new field, you must be knowledgeable about specific earnings rules so you don’t jeopardize your pension or Social Security benefits.

Pensions and retirement work 

Retired public employees in New York State, including UFT members with pensions from the city Department of Education, have no restrictions on annual earnings if they are self-employed or work for a public employer outside New York, a private employer or a nonprofit. The same is true for retirees who work for a public benefit corporation, such as the Metropolitan Transportation Authority or the New York City Housing Authority.

But Teachers’ Retirement System (TRS) members who are younger than 65 and work in retirement for the city Department of Education or another public employer in New York are subject to annual earnings caps. The annual earnings limit is $35,000, and exceeding it can jeopardize a member’s pension. Retirees’ public school employment earnings do not count toward the cap due to a state legislative exemption. However, that exemption expires on June 30, 2027.

Retirees under 65 must notify the pension system of their work circumstances. They do so by filing a certificate of employment Section 212 form to report their earnings for the previous year. The form is due annually until the calendar year in which they turn 65. Failing to file the paperwork puts retirees at risk for having their pension payments suspended.

Also know:

• You do not earn additional pension credit for post-retirement work at the DOE.
• If you receive an annuity under the Tax-Deferred Annuity Program, your monthly payments will not be affected by income earned in retirement.

For more information, read the TRS’ Earnings After Retirement brochure. Members of the Board of Education Retirement System (BERS) may call 929-305-3800or visit the website. You can also call the UFT at 212-331-6311 and ask to speak to a UFT pension consultant.

Please note: Most of the information above pertains specifically to service retirees, not to those who retire with disability pensions.

Social Security and retirement work 

A retiree who is between 62 and full retirement age (which varies depending on rules that are based on your date of birth) and receives Social Security benefits can earn up to $24,480 in 2026. If you exceed this threshold, you will lose $1 in Social Security benefits for every $2 in earnings.

The earnings limit for the year in which members reach full retirement age is $65,160 for 2026. For any income above that, Social Security deducts $1 in benefits for every $3 you earn.

The Social Security Administration only counts earnings up to the month before you reach full retirement age, not for the full year. Starting with the month you reach full retirement age, you can earn as much as you want without affecting your Social Security benefit.

The earnings limits change periodically, so make sure to check the Social Security Administration website or call the agency at 800-772-1213 for the latest information.