A CTPF retiree may decide to return to work as a teacher, but there are some rules to be aware of to avoid a pension cancellation. Returning to work on a permanent, annual basis will generally result in your pension being immediately cancelled, to resume only upon re-retirement.   

A retiree can return to work as a teacher on a temporary and non-annual basis without affecting their pension and, if applicable, health insurance subsidy for that fiscal/school year (July 1 – June 30). However, retirees re-employed on that basis are restricted as to how many days during each fiscal/school year) they can work for a Chicago Public, charter, or contract school (Employer).  A retiree may go to work for any entity other than an Employer without restriction. However, reciprocal retirees must meet all return to work requirements from each reciprocal retirement system.  

Serious financial consequences can occur (including the loss and/or required repayment of your pension and, if applicable, health insurance subsidy for that fiscal/school year) when limitations are exceeded. You must notify CTPF in writing before beginning employment with an Employer.   

Who is Impacted  

A “teacher” is defined as any educational, administrative, professional, or other staff member whose position requires certification or licensure under the Illinois School Code.  

All managerial, supervisory, confidential employees, at contract schools are excluded from the definition of teacher.  

If you are unsure if a job you are considering falls under this definition, you may submit a job description to CTPF for review prior to accepting the position.  

Definition of Day   

A retiree will be considered to have worked a “day” for return to work purposes, if the employer reports the retiree as having worked for one hour or more during a calendar day. However, a “day” shall not include an “in service” day that the retiree must attend in order to qualify as a substitute.  

Note: This definition of a “day” does not affect the accumulation and tracking of hours worked teaching only drivers education courses—i.e. any portion of an hour worked counts toward the “no more than 900 hours” limitation.  

Return to Work Policy and Summary

Return to Work Policy

Summary of Return to Work Policy

The updated Return to Work Policy will be posted after the August 2024 Board of Trustees Meeting.

On June 5, 2024, the Governor signed legislation extending through June 30, 2027, the statutory provision increasing the number of days per school year on which a retiree can return to work on a temporary and non-annual or hourly basis without having a pension cancelled from 120 to 140. This legislation initially became effective on July 1, 2022, with a June 30, 2024, expiration date.  

Working in a Subject Shortage Area 

Public Act 102-1013 allows a retiree to return to work without limitation or cancellation of their pension under certain circumstances. Retirees who return to work under this provision must be employed in a subject shortage area for an employer that has demonstrated that they cannot otherwise fill the position(s), and do not earn service credit or make pension contributions during re-employment. This legislation was signed by the Governor on May 27, 2022, and its provisions were extended through June 30, 2027, by Public Act 103-0588, signed in 2024. 

A retiree who is re-employed as a teacher in Chicago Public, charter, or contract school (Employer), on a permanent or annual basis will have their retirement benefits cancelled.* The retirement benefit will be cancelled on the date the re-employment begins, or on the first day of a payroll period for which service credit is validated, whichever is earlier. For permanent or annual re-employment, the retiree will have to end that permanent or annual re-employment and apply to re-retire in order to collect a pension again. The terms of a pension, based on re-retirement, are determined by 40 ILCS 5/17-149(c), other Illinois Pension Code provisions, and CTPF’s administrative rules.    

*There are limited exceptions to this as noted in the rules effective through June 30, 2027. (See Working in a Subject Shortage Area.) 

Before July 1, 2022, a retiree re-employed as a teacher in a Chicago Public school, charter school, or contract school, on a temporary or non-annual basis was subject to employment and compensation limits. On July 1, 2022, the compensation limit was eliminated.   

The chart below defines the temporary and non-annual re-employment limitations.  

*The days worked limit before July 1, 2022, was 120 days. The 140-day limitation has been extended through June 30, 2027.

You must notify CTPF if you return to work after retirement. If you are returning to work, you must fill out and return the applicable form to CTPF: 

• Form 770: Notice of Temporary or Non-Annual Return to Work
• Form 773: Notice of Permanent or Annual Return to Work

You must track days (or for drivers education only, hours) worked. Employers use various systems to register hours worked and those systems are not connected to each other. Therefore, there is no single place you can go to find out how many days or hours you have worked in a fiscal/school year. You must track your time to ensure that you do not exceed any limits.  

No Warning  

You will not receive a warning if you are getting close to the maximum limit.   

If you have received notice that your retirement benefit was cancelled relating to re-employment and need further information, please visit Pension Cancellation.  

Impact of Return to Work Retirement Benefit Cancellations on Reciprocal Retirement Benefits 

CTPF will notify the Reciprocal Systems from which the retiree is receiving reciprocal retirement benefits when the CTPF retirement benefit is suspended or cancelled due to re-employment. The Reciprocal Systems may take action regarding pension and any other affected benefits, according to their own statutes and administrative rules.