PURPOSE: This rule complies with the provisions of 104.342.7(2), RSMo requiring an offset of the Public School Retirement System benefit for Social Security benefits accrued after 1989, for employees of the Department of Elementary and Secondary Education.

Editor’s Note: The secretary of state has determined that the publication of this rule in its entirety would be unduly cumbersome or expensive. The entire text of the material referenced has been filed with the secretary of state. This material may be found at the Office of the Secretary of State or at the headquarters of the agency and is available to any interested person at a cost established by state law. (1) The offset amount will be determined using the maximum offset allowance defined in the Internal Revenue Code Section 401(1) and related regulations. The computed Public School Retirement System (PSRS) regular retirement benefit will be reduced by the offset amount, effective with the month of first eligibility for Social Security benefits after PSRS retirement.

1. (2) The PSRS benefit will not be reduced if the retiree certifies 1) ineligibility for Social Security benefits because of insufficient coverage, or 2) that Social Security benefit payments have not yet commenced. Periodic recertification will be required. The retiree shall notify the system immediately upon commencement of Social Security benefit payments.
2. (3) The retiree shall have the opportunity to demonstrate that the Social Security benefit payable is less than the maximum offset allowance. In such case, the regular retirement benefit will be reduced by the actual Social Security benefit payable.
3. (4) Once the offset has been applied, each future cost-of-living adjustment will be based on the then-current benefit payable.

AUTHORITY: section 169.020, RSMo 1994.* Original rule filed Oct. 21, 1994, effective April 30, 1995.

*Original authority: 169.020, RSMo 1945, amended 1951, 1953, 1967, 1973, 1983, 1990.