First: a clean break
End all covered employment before the retirement date, make no agreement for future covered work until after your first benefit payment, and don't work for a covered employer for one month after retiring (retire July 1 -> can start August 1). Handbook p. 59, Terminating Employment; p. 60, Example; pp. 76-77, Proper Termination
The limits by kind of work
| Work for a PSRS employer | Hours limit | Pay limit |
|---|---|---|
| Certificated part-time or temporary substitute Handbook p. 79, Certificated Part-Time Work; RSMo 169.560.1 | 550 a school year | 50% of the salary schedule pay for the job |
| Non-certificated (bus driver, coach) Handbook p. 80, Non-Certificated Work; p. 81, Non-Certificated Full-Time Work | None | $32,558.40 (2026-2027) |
| Certificated, through a staffing company or as a contractor Handbook p. 82, Work for Third-Party Providers or as an Independent Contractor | 550 | $23,500 (2026-2027) |
| PSRS-covered community college Handbook pp. 81-82, Work for a PSRS-Covered Community College | 550 (1 credit hour = 30 clock hours) | 50% |
| Substitute teaching Handbook p. 78, Temporary Waiver of Work Limits on Substitute Teaching; psrs-peers.org, Substitute Teaching Work Limit Waiver | No limits through June 30, 2030 | |
| Employers outside PSRS Handbook p. 76, Working After Retirement | No limits | |
DESE-certificated part-time or temporary-substitute work for a covered K-12 district: up to 550 hours a school year (July 1-June 30) and up to 50% of the annual compensation on the employer's salary schedule for the position given your experience and education. Insurance premiums paid for you, leave payouts and other payments count toward the salary limit. Handbook p. 79, Certificated Part-Time Work; RSMo 169.560.1
PSRS's examples
| Retiree | Salary schedule | Limit | Can still earn |
|---|---|---|---|
| AmyHandbook p. 79, Example 1 | $40,000 | $20,000 | $19,100 |
| JohnHandbook p. 80, Example 2 | $40,000 | $21,500 | $19,500 |
| Collin (community college)Handbook p. 82, Example | $40,000 | $22,500 | $17,500 |
The limit is half the schedule pay plus half of any insurance the employer would pay for a full-time worker. Insurance paid for you, leave payouts and other pay count against it.
Your first school year: pro-rated limits
In your first school year after retirement your limits may be pro-rated by retirement date. Handbook p. 85, Pro-Rated Limits on Work in the Year You Retire (tables)
| You retire | Hours | % of pay | Salary-only limit (2026-2027) |
|---|---|---|---|
| July 1 | 550 | 50% | $32,558.40 |
| August 1 | 504 | 46% | $29,865.60 |
| September 1 | 458 | 42% | $27,172.80 |
| October 1 | 413 | 38% | $24,480.00 |
| November 1 | 367 | 33% | $21,787.20 |
| December 1 | 321 | 29% | $19,094.40 |
| January 1 | 275 | 25% | $16,401.60 |
| February 1 | 229 | 21% | $13,464.00 |
| March 1 | 183 | 17% | $10,771.20 |
| April 1 | 138 | 13% | $8,078.40 |
| May 1 | 92 | 8% | $5,385.60 |
| June 1 | 0 | 0% | — |
PSRS's 2026-2027 table of pro-rated salary limits for non-certificated work doesn't follow a simple monthly pattern, and June retirees get 0 even though one month would remain.
What we use: the table exactly as printed.
Full-time work
Full-time work for a covered employer in a position subject to hours and salary limits stops your benefits until the month after the job ends or a new school year begins July 1, whichever is first. Handbook p. 81, Certificated Full-Time Work; p. 82, Full-Time Work
Critical Shortage Employment. If the employer certifies a critical shortage, you can work up to 48 months total (not necessarily consecutive) without losing benefits; no contributions or service. Employers can hire up to 1% of staff or five retirees, whichever is greater; not for superintendent. Handbook p. 83, Critical Shortage Employment; RSMo 169.596
If you go over
If you exceed a limit, notify PSRS; benefits may be held from that month; repay the lesser of the amount earned over the limit or the full benefit for each month the limit was exceeded. Handbook p. 78; p. 86, What Happens if You Exceed a Limit?
A second membership
If post-retirement work meets membership requirements you must start a new membership and contribute; with at least one year of service you get a second benefit (not combined with the first, no PLSO). No benefits for months you earn service; a full year of service means benefits paid that school year are recovered. Handbook p. 86, Establishing a Subsequent Membership as a PSRS Retiree
What the handbook says
- To retire properly, end all covered work before your retirement date, make no deal for future covered work until after your first benefit payment, and don't work for a PSRS employer for one month. Retire July 1 and the earliest you can start is August 1.Handbook pp. 59-60, Terminating Employment and Example
- Part-time or temporary-substitute certificated work for a PSRS school district is limited to 550 hours a school year and 50% of the salary schedule pay for the position.Handbook p. 79, Certificated Part-Time Work; RSMo 169.560
- Example from PSRS: on a $40,000 schedule your limit is $20,000. A $900 leave payout counts, so you can earn $19,100.Handbook p. 79, Example 1
- Non-certificated work (PSRS's examples: a school bus driver, a volleyball coach) for a PSRS district has only a salary limit: $32,558.40 for 2026-2027.Handbook p. 80, Non-Certificated Work
- Limits on substitute teaching are waived through June 30, 2030.Handbook p. 78, Temporary Waiver of Work Limits on Substitute Teaching
- Full-time certificated work for a PSRS employer stops your benefit, unless you're hired under Critical Shortage Employment, which allows up to 48 months in total.Handbook p. 81, Certificated Full-Time Work; p. 83, Critical Shortage Employment
- Certificated work through a staffing agency or as a contractor at a PSRS school is limited to 550 hours and $23,500 for 2026-2027.Handbook p. 82, Work for Third-Party Providers or as an Independent Contractor
- In your first school year your limits are pro-rated. Retire January 1 and your limits are 275 hours and 25% of salary (or $16,401.60 for salary-only work).Handbook p. 85, Pro-Rated Limits
- If you go over a limit, you repay the smaller of what you earned over the limit or your full benefit for each month you were over.Handbook p. 86, What Happens if You Exceed a Limit?
- Work for employers outside PSRS doesn't affect your benefit.Handbook p. 76, Working After Retirement
Questions
Can I work after retiring from PSRS?
Yes. Work for employers outside PSRS doesn't affect your benefit. For a PSRS employer, you must wait one month and stay within hours and salary limits.
What are the limits for substitute or part-time teaching?
Up to 550 hours a school year and 50% of the salary schedule pay for the job. Limits on substitute teaching are waived through June 30, 2030.
What about non-teaching jobs at a school?
Only a salary limit: $32,558.40 for 2026-2027. No hours limit.
What if I go over a limit?
Tell PSRS. You repay the smaller of what you earned over the limit or your full benefit for each month you were over.
Source: PSRS Member Handbook, 2026-2027 (as of September 2026), pp. 59, 60, 76, 77, 78, 79, 80, 81, 82, 83, 85, 86; RSMo 169.560, 169.596; psrs-peers.org pages. Last reviewed .