Disability Benefit Recipient Document
This document has been prepared for members of the Public Employees'
Retirement System of Nevada to provide general information.
It is based on retirement law effective from the 71st session of the
Nevada Legislature, 2001. This is not a legal document, nor is it
intended to serve as a basis for legal interpretation. Official legal
reference may be found in the Nevada Revised Statutes.
Post Retirement Increases
Recipients are entitled to an annual post-retirement increase on the
first of the month following three full years of receiving benefits.
Benefits will be increased by 2% beginning in the fourth year, 3%
beginning in the seventh year; 3.5% beginning in the 10th year, 4%
beginning in the 13th year and 5% beginning in the 15th year.
Reemployment After Retirement
Recipients of a disability retirement allowance must submit an
employment questionnaire prior to May 1, of each year. This
questionnaire will be provided by PERS early in the year. The
purpose of this form is to ensure that disability recipients
were not working the previous year in employment that would
conflict with the reason for the disability benefits.
A disabled retired employee must apply for and receive Board approval
prior to returning to any type of employment, either public or private,
or the benefit must be suspended. The application must include:
The Board will not approve employment of a disabled retiree in a
position which would normally be eligible for membership in PERS.
When a disabled employee returns to employment with a participating
public employer in a position which would entitle membership:
The disability retirement allowance shall be cancelled He shall again become a contributing member of the System All previous service credit shall be restored Employee contributions, less 15% of the total of the disability
benefits paid, shall be returned to the member's account.
A disabled retired employee whose allowance is cancelled may either
apply for a refund of unused contributions, defer the monthly benefit
until eligible for service retirement, or elect service retirement.
The effective date of the service retirement, if elected, will be the
first of the month following the date the request was received in the PERS office.
Restrictions
A disabled retired employee must file an employment questionnaire
prior to May 1 of each year. This is to ensure that the employee has
received Board approval prior to returning to any type of employment.
Medical Examinations
The PERS Board may require medical examinations at our expense until
the disabled retired employee attains the equivalent of service
retirement eligibility. The requirement for an annual physical
examination may be waived upon prior certification from the Board's
medical advisor that the disabled retired employee will remain permanently
and totally unable to perform the assigned or a comparable job.
The monthly disability benefit shall be suspended if a disabled retired
employee who has been notified to submit a medical examination report
fails to submit such a report to PERS prior to the re-certification
date established by the Board.
Federal Income Tax
It is the disabled retired employee's responsibility to contact the
Internal Revenue Service or a tax consultant regarding their tax obligation.
Insurance Premium Deductions
Upon the request of a benefit recipient, PERS will deduct the monthly
insurance premium for group coverage from the monthly benefit check.
This is provided as a service to the benefit recipient. PERS has no
responsibility or authority regarding any group insurance program
provided to public employees or benefit recipients.
Benefit recipients should notify their insurance company of any address
changes so that they will be able to contact recipients regarding rate
changes on their coverage. Please contact your insurance company or
previous public employer directly if you have any questions regarding
your insurance coverage. PERS staff does not have this information, nor
do we assist private insurance companies in administration of their group coverage.
Conversion To Regular Retirement
A disabled retired employee is considered a disabled retired employee
even after reaching age 60 or the equivalent of service retirement
eligibility. However, a disabled retired employee may elect to change
from a disability retirement to a service retirement after a written
request is received in the PERS office. If a disabled retired employee
changes to service retirement, an employment questionnaire will not be
required. The retired employee will be subject to the laws pertaining
to service retirement.
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