Employment After Retirement Session # RET 10 and # HR 10 April 5, 2018

Transcription

1 Employment After Retirement Session # RET 10 and # HR 10 April 5, 2018 The views and opinions expressed in this presentation are those of the authors and do not necessarily reflect those of CASBO.

2 Employment After Retirement Presented By: Veena Chaudhri Coordinator Retirement Systems, Support Services Orange County Department of Education April 5, 2018 CASBO Annual Conference 2 2

3 This workshop material provides the employment options available to school retirees. The statements in this presentation are for your information and use. This information is based on currently known facts. However, CalPERS, CalSTRS & IRS updated regulations/laws will always supersede the statements presented in this workshop. If there is a conflict between this presentation and the law, decision will be based on the law and not on the information provided in this presentation. CASBO These materials have been prepared by the CASBO Retiree Professional Council (or CASBO Associate Member). They have not been reviewed by State CASBO for approval, so therefore are not an official statement of CASBO. 3

4 Agenda/Purpose Rehire Options of a Retiree Restrictions and limits Work in a Private Sector Work as an Independent Contractor Employment after CalPERS Retirement Employment after CalSTRS Retirement Retired member activities Social Security 4

5 Materials Overview Employment of a Retiree Handout Updated/Additional Related Information is available on Websites CalPERS Employment after Retirement ( Reinstatement From Retirement ( CalSTRS Member Handbook- Employment after Retirement ( 5

6 So you ve retired and you are thinking about returning to the work force st Step Ask yourself this question. 6

7 ARE YOU CRAZY?????? 7

8 Everything is changing continuously Only thing Constant is the Change 8

9 Change in our life style Few Years ago, when employees retired It Meant.. - Done with the working phase of life - Spend Golden years with family/friends -Travel time - Hobbies, etc. Now there is a change in life style. Do all of the above and Maybe work part time in similar or different jobs. - Retirement allowance is now another source of Income (Additional/supplemental Income). -Work to Keep Busy & Mentally Alert. 9

10 Retiree Employment Why has employment after retirement received so much attention? Increased publicity of pension systems. Increased number public cases involving improper conduct and/or gaming the system. Efforts by Legislature to encourage hiring of full-time staff. Increased efforts by pension systems to locate working retirees. Audits at the State-level have revealed holes in compliance-related activities of pension systems. 10

11 CALIFORNIA PUBLIC EMPLOYEES PENSION REFORM ACT OF 2013 (PEPRA) Brought about a New Era which direction to go from there Era of Retirees Reemployment Rules 11

12 Era of Retirement Changes was the first year when so many major changes were implemented affecting CalPERS & CalSTRS. Public Employees Pension Reform Act (PEPRA) became effective January 1, For CalPERS Retirees Government Code sections & were added by PEPRA. Government Code sections & 21221(h) were amended by SB1021 on 6/27/

13 Option 1 - Private Sector Employment Option 2 - Independent Contractor Private or Public Employer Option 3 - Non Certificated Position Option 4 - Certificated Position Requires a Credential or Permit 13

14 Option 1-Work in a Private Sector No limitations or Restrictions apply from CalPERS or CalSTRS Social Security limitations may apply based on the retirement age*. - If collecting a Social Security benefit & retired prior to reaching full retirement age. (Retirement age is published by Social Security office depending on year of birth.) 14

15 Option 2 Guidelines for Independent Contractors 15

16 Who is an Independent Contractor? A worker who the payer has a right to control or direct only the result of the work done, and not the means and methods of accomplishing the result. Refer to IRS Publication for details : 16

17 How do you determine who is an employee and who is an independent contractor? When determining whether an individual is an employee or an Independent contractor, the relationship of the worker and the payer must be examined. Within the working relationship, the areas to look at 20 common law rules. (Derived from case law). 1) behavioral control, 2) financial control, 3) the actual relationship between the two. CalPERS refers to the Common Law Control factors & applicable Government Code statutes when determining Employee vs. Independent Contractor status. 17

18 What is the difference between an employee and an independent contractor? Basic Difference: Between the two is Control From Employee:An employer must generally: o o o Withhold Income taxes Withhold and pay Social Security and Medicare taxes Pay Unemployment tax (if applicable) on wages paid to an employee. o o o Independent Contractor: An employer does not generally have to: Withhold contractors. or pay any taxes on payments to independent Independent contractors are self-employed individuals. Refer to IRS Publication 15-A for details 18

19 Does the firm/district have a legal right to direct and/or control the work you will be doing? Are You Acting On Behalf of the firm/district? Is the Service you are providing an integral part of district operations? 19

20 Is the work you will be doing currently or previously been done by an employee? Do you meet IRS guidelines for operating like a business? 20

21 Making a Determination of Worker Status For purposes of Federal Employment Taxes and Income Tax Withholdings. Submit IRS Form SS-8 Can be submitted by worker or District. Decision by IRS is binding. IRS Form SS-8: Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholdings. IRS website: 21

22 Retirees Working as Independent Contractors Retirees should not be hired as an Independent Contractors if: They are coming back in an interim position or a position that has been established as an employee position Exception :GC

23 Category of worker classified as an employee by IRS- IRS Pub SWR 40 Administrator ASB Workers Athletic Coaches Cafeteria Worker Categorical program Clerical Staff Counselors Examination Monitors Interim Positions Proctors Librarians Nurses Psychologists School Bus Drivers Substitute Teachers/Instructors Specialty Teachers (art, poetry, etc.) Teachers/Instructors Tutors 23

24 Reporting to CalPERS is not a requirement CalSTRS Retirees are subject to CalSTRS rules: Post-retirement Earnings Restrictions Reporting to CalSTRS is a requirement ED Code 24214(a) Social Security limits apply based on retirement age Self Employed Rules. 24

25 CalSTRS Retirees working with CalSTRS Employer as an Independent Contractor Subject to all the laws that were in effect prior to passage of PEPRA (AB 340) Reporting to CalSTRS is a requirement CalSTRS Retirees are subject to CalSTRS post-retirement earnings Restrictions: limit $43, limit $45,022 ED Code 24214(a) Zero dollar limit for first 180 days of retirement if the most recent retirement is after 2012 (PEPRA AB340) 25

26 True Independent Contractors are not subject to the post employment retirement law requirements such as: No 180 day wait period restriction No 960 Hours limit No Compatible pay rate No enrollment in PERS system 26

27 Questions 27

28 If You Don t Qualify to Be Hired As an Independent Contractor The Following May Apply 28

29 Option 3 Employment after CalPERS Retirement PERS Circular # , dated 01/14/

30 Private Industry employer not associated with any CalPERS employer. Independent contractor if applicable. Certificated position. Classified Position in a CalPERS covered agency. 30

31 True: Independent contractors are not subject to the post employment retirement law requirements. If you would like to obtain an Independent Contractor Determination from CalPERS, contact CalPERS at and request the Independent Contractor Checklist Package Allow business days after submitting all required paperwork for determination to be made. 31

32 PERS Retiree Hired in a Certificated position If PERS Retiree accepts a STRS qualifying job. PERS retiree can work into a STRS qualifying position without any impact on PERS benefit. Retiree must verify with PERS and STRS If a PERS Retiree accepts a STRS non qualifying job. PERS retiree can work into STRS non qualifying positions without any impact on PERS benefit. STRS non-member rules apply. If needed, Retiree can become a STRS member upon meeting STRS membership qualification. 32

33 Public Employees Pension Reform Act (PEPRA)-SB340 Effective January 1, day wait period: The wait period applies only where the post-retirement employment occurs with an employer in the same public retirement system from which the retiree retired. The exception to this rule: A retiree is appointed to a state board or commission, serves in an elected or appointed office. 33

34 PERS Retiree Employment- 180 Day Exceptions The School employer s, County Office of Education, presents CalPERS with a resolution, passed in a public meeting that approves the appointment in which the employer has certified the nature of the employment and established that appointment is necessary to fill and is a critically needed position before 180 days have passed. The appointment may not be placed on a consent calendar. Disqualification for an Exception to the 180-Day wait period: The 180-Day wait period applies without exception if the member received a Golden Handshake or some other employer incentive/s to retire. 34

35 Resolution For Exception To The 180-Day Wait Period (GC (f)(1) For School employers, the school district s county office of education is the governing body that must pass the resolution. The Certification & resolution should be received by CalPERS prior to the retiree s hire date. PERS notifies by whether the 180 day wait period exception resolution is acceptable or unacceptable, e.g. the resolution meets the requirements for the exception and the employment meets the retired annuitant requirements. Mail the Resolution to: Working After Retirement Employer Account Management Division P O Box Sacramento, CA Working_After_Retirement@calpers.ca.gov Enclose the following items with the Resolution: Employee & Employer s CalPERS ID. Copy of the employment agreement or appointment paperwork. Copy of Salary Schedule that lists the position. Proof of an open recruitment if hired as Interim under section 21221(h). 35

36 Resolution for Exception to the 180-Day Wait PERIOD 36

37 Federal Requirement- Service Retirees only There must be no pre-determined agreement (either verbal or written) to return to employment as a retired annuitant between the member and a CalPERS employer prior to retirement. AND There is a Bona-fide Separation from service of 60 calendar days between the members retirement effective date and the date the employment as a retired annuitant will begin. GC Circular Letter

38 The Formula used for Retirement Benefit Allowance Calculation for school members is as follows: Classic Old Members - 2% at 55 PEPRA New Members - 2% at 62 Normal Retirement Age for school members = 55 if all of the retiree s service is under the 2% at 55 = 62 if all of the retiree s service is under the 2% at 62 Note: If the retiree has service credit with other employers which has a different retirement formula such as 1 & 1¼% under 65, the retirees Normal Retirement Age is 65. Refer to Circular letter at 38

39 CalPERS Post Retirement Employment - SB 1021 Government Code Sections 21221(h) and were amended on 6/27/2012. Retirees may be employed up to 960 hours in a fiscal year accumulative all PERS employers. There is no provision in the law to allow retiree to volunteer hours while employed. Compensation (i.e., rate of pay) for retirees shall not be less than the minimum or greater than the maximum paid to employees performing comparable duties. Calculate hourly pay rate by dividing monthly base salary by or use the public pay schedule hourly rate, if applicable Retirees shall not receive any additional benefits, incentives, compensation in lieu of benefits or other compensation in addition to hourly rate. Retirees can work more than one fiscal year. 39

40 CalPERS Post Retirement Employment Section 21221(h), & The employment is during an emergency to prevent stoppage of public business. Retirees can be hired to perform work of limited duration. And limited duration means the appointment is not for an indefinite period of time and is not a permanent position. It should have a begin date & an end date. Retirees have the specialized skills needed by the district for a limited duration. Part-time permanent jobs require reinstatement into the PERS system. Enroll retirees into my/calpers system. 40

41 CalPERS Retiree Employment - Section Retirees can work Extra help Elimination of backlog Special projects Work in excess of what the employer s permanent staff can do. The work a retiree performs should supplement the work of a regular staff. Report the retirees hourly pay rate, earnings & hours to the my/calpers system. 41

42 CalPERS Post Retirement Employment Under Government Code Section 21221(h) It is used when the governing body of the contracting agency appoints a retiree to a vacant position during recruitment for a permanent replacement. (Open recruitment for a permanent replacement required). It is generally used for high level management, a director or executive position. This section permits the interim appointment only once but, the term of the appointment can be longer than one year. Employment terms must specify an end date & cannot be amended to extend the appointment term. The retiree can work 960 hours total for all employers in a fiscal year. Report the retirees hourly pay rate, earnings & hours to the my/calpers system. 42

43 Resolution Sample 43

44 Employment or co-employment through a third party employer: If there is an employer/employee relationship your employment is subject to: CalPERS restrictions apply while working under a CalPERS employer even though retiree gets paid by the Third Party. 44

45 Mandatory Reinstatement If A Retiree is employed without meeting 180 day wait period & without an allowable exception. A Retiree who received Golden Handshake or any other retirement related incentive & did not comply with 180 day wait period. Retired annuitant worked more than 960 hours in FY. Not in compliance with common law employment test Independent contractors. A Retiree hired as a permanent appointment, GC A Retiree hired more than once under GC 21221(h) Interim Appointment. 45

46 PERS Retiree s Responsibility before accepting employment Ask if it is CalPERS employer; inform Employer you are PERS Retiree and type of retirement, i.e. service or disability. Ensure Employment is and remains in compliance with PERS law; see Employment after retirement publication and contact CalPERS if you have questions. If employment is in violation of PERS law: Could be subject to mandatory reinstatement retro active to date when unlawful employment occurred. If reinstated, employer enrolls as active employee for the period of unlawful employment and member pays member contributions plus interest. Reimburse Retirement Allowance received during period of unlawful employment. 46

47 Employers who filled the position in violation of PERS law: Retroactive enrollment of retiree as your active employee. Pay employer contribution retroactive to date unlawful employment occurred plus interest. Administrative Expenses. Report retroactive payroll so retiree receives active employee service credit. GC 21220/21202/

48 Unemployment Insurance compensation based on prior retired annuitant s employment: 1. PERS Retirees Benefit Triple Dipping 2. Retiree Annuitant Income (960 Hours) 3. Unemployment Insurance Benefits (UI) 48

49 Circular Letter at If you are paid Unemployment Insurance benefits for work as a Retired Annuitant. PERS law requires that Retired person not be hired by the any CalPERS employer at least for 12 months following their previous employment termination date. Retirees must certify in writing that he/she did not receive any unemployment insurance payments within 12 months prior to this appointment for previous retired annuitant work with any CalPERS employer. -GC

50 UI Benefits Paid to the Retiree. Terminate the Retiree. Don t hire retiree for 12 months from the termination date (12 months following the last day of employment). GC

51 Assembly Bill 1309 Effective January 1, Fees Amends Government Code section of the Public Employees Retirement law. Assess Fees for employers who fail to : Enroll retired annuitants within 30 days of the effective date of hire. Report the pay rate and number of hours worked of a retired member employed in any capacity at a CalPERS agency. 51

52 Assembly Bill 1309 Effective January Fees If employer fails to enroll a retired annuitant: $200 fee per retired member per month until the retired member is enrolled. If employer fails to report the pay rate and number of hours worked of a retired member: $200 fee per retired member per month until the information is reported. Retired annuitants must be enrolled and have their hours reported in my/calpers. 52

53 Contact CalPERS Special Rules Apply 53

54 CalPERS Disability Retiree hired by a CalPERS Employer. Retirees can work for 960 hours in a temporary position No approval required. Employment with non-calpers Employer No limit on number of hours. Prior approval is not required. Earnings limit apply to retirees receiving a disability(non- industrial retirement) if under age 50. Permanent full time position with Earning limit if under age 50 (disability retiree non- industrial). Send Disability Retiree s Report of Earnings Outside Employment to PERS if under age 50. Note: Employment must be consistent with the physical/mental condition of the person s disability: e.g., individual cannot perform tasks for which he/she is disabled. 54

55 Employment in a permanent position with CalPERS employer. Employment must be in different a position. CalPERS approval required before accepting employment. Earnings limitation applies. Complete application Request To Work While Receiving Disability/Industrial Disability Retirement Benefits (Over 960 Hours). GC Provide medical report & job description to PERS. 55

56 Reinstatement is permissible in CalPERS Complete Reinstatement from Service Retirement Application, form or Reinstatement from Disability/Industrial Disability Application, form. PERS approval required. Effects of Reinstatement May lose Medical Coverage. Will lose Additional Service Credit under Golden Handshake. Will have to re-request Temporary Annuity payments at re-retirement. ** Refer to Reinstatement from Retirement ** Publication (PERS-PUB-37) 56

57 Retired as Board Member and receiving CalPERS benefit. Re-elected as a Board member can serve without reinstatement. -- Board Members cannot be reinstated because of break in service. --The retirement allowance that is based on service as a Board member shall be suspended during the incumbency. GC

58 Overview of PERS Retirees Employment After waiting for 180 days, a retiree can work up to 960 hours in a fiscal year and still receive PERS benefit allowance. Job must meet all the of the requirements for retired annuitant work. Not paid any other benefits in addition to hourly pay rate within the salary schedule for the position. If retired on a service retirement, a retiree can work for a non-calpers employer without any restrictions and still receive PERS allowance. No need for PERS approval. Returning to a permanent, part-time or full-time work with a CalPERS employer will require to reinstate from retirement. Must have a firm start date or hire date in order to reinstate from service retirement into active employment. 58

59 Questions 59

60 Option 4 STRS Employer Directive (Contains Exemptions from the CalSTRS Earnings Limitations) 60

61 Private Industry & Schools, Public Schools outside CA, University of CA or CA State University system or UCI. Independent Contractor, if applicable. (Subject to CalSTRS Earnings limitation) In a Classified position in a public school system if meets the requirement of: Education Code 45134(C) or Instructional (Teacher s) Aide Position. In a class with a high pupil-teacher ratio. Is needed to provide one-on-one instruction in remedial classes or for underprivileged students. In a Certificated position Earnings Limitations & Exemptions apply. 61

62 Retired Member Activities Retired Member Activities One of more activities identified in subdivision (b),, or (d) of Section or Section Within California public school system. Performed by a retired member as one of the following: An employee of an employer. An employee of a third party, except as specified in subdivision (b). An independent contractor. Education Code section

63 STRS Employer Directive Purpose of the Employer Directive: Inform employer of the post retirement earnings limitations. Legislative changes to the post retirement earnings law. Employer s responsibility to inform CalSTRS retirees about earnings limitations. (Section 22461) Employers to report post retirement earnings with correct codes to CalSTRS. (Section 22461) Financial implications of exceeding the earnings limit. (Section 24214(g)) Retirement incentive restrictions & Classified position restrictions. CalSTRS Employer Directive : 63

64 PEPRA (AB 340) Restrictions Restrictions apply to members who retire on or after January 1, The $0 earnings limit applies to all members whose most recent retirement is on or after January 1, 2013, regardless of their age for the first 180 days after the member s most recent retirement. CalSTRS refers to this restriction as the Separation-from Service Requirement. 64

65 Exemption from the Separation from Service Retirement (180 Day, Zero Dollar Limit) STRS Form# SR1897 The retired member must be of normal retirement age (60) when the compensation is earned. The exclusion from180 day rule applies, if the appointment is necessary to fill a critically needed position. The governing body of the employer approves the appointment in a public meeting. The member did not receive any financial incentives to retire. The member s termination of service was not the cause of the need to acquire the services of the member. The Resolution is adopted prior to the retired member performing duties. The exemption Form# SR1897 must be received by CalSTRS prior to the retired member performing post retirement activities. CalSTRS notifies Employee/Employer within 30 days of receipt of resolution/documentation whether approved or denied. If approved, the annual post retirement earnings limit still applies. 65

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69 Normal Retirement Age: EC (a) Compliance with Federal Law 2% at 60 CalSTRS members = 60 2% at 62 CalSTRS members = 62 All employees must complete six month separation who retired after 1/1/2013. OR The retirement benefit is reduced dollar-for-dollar for the first 6 months or until they reach their normal birthday. For members who retired prior to 1/1/2013-It is age 60 or 6 months. For members who retire on/after 1/1/2013-It is age 60/62 or 180 days. The member will be subject to the annual post-retirement earning limit for each fiscal year. There are no exemptions from this requirement. 69

70 CalSTRS Retirees working with CalSTRS Employer as an Independent Contractor: All applicable laws applied to post retirement employment applies to Independent Contractor. Reporting to CalSTRS is a requirement. CalSTRS Retirees are subject to CalSTRS post-retirement earnings restrictions: Limit $43, Limit - $45,022 ED Code 24214(a) Zero dollar limit for first 180 days of retirement if the most recent retirement is on/after 1/1/2013 (AB 340). 70

71 CalSTRS Earnings Limitation for services performed on behalf of the California Public School System: July 1, 2017 June 30, 2018: $43,755 July 1, 2018 June 30, 2019: $45,022 CalSTRS Limited/Narrow Exemption to the Earnings Limit- Ended June 30, Ed Code Ended June 30, 2017 Disability Retirement Earnings Limit: 2018 Calendar Year - $30,300 (Total Earnings: Public + Private). CalSTRS Employer Directive : 71

72 Any creditable earnings identified in Section is reportable as Retiree Earnings such as: Summer School Intersession Mileage/Expenses Department Chair Stipend Tax Sheltered Annuities/Benefits 72

73 CalSTRS Exemptions To the Earnings Limitation Effective 7/1/2012 ALL OTHER EXEMPTIONS TO THE POST-RETIREMENT EARNINGS LIMIT ENDED JUNE 30, 2012 such as: Direct Classroom Remedial Exemption Emergency Exemption 12-Month Break in Service 73

74 Exclusion When Working for a Third Party Retired members employed by a third party are excluded from the postretirement earnings limit & related provisions provided they meet ALL of the following criteria: The retired member is employed by a third party that does not participate in a California Public Pension system; The activities performed by the retired member are not normally performed by the employees of the employer; and The activities are performed by the retired member for a limited term of 24 months or less. Reporting to CalSTRS is not a requirement. 74

75 Retired members will lose CalSTRS retirement incentive if they return to work as retired employees with the same employer within 5 years of retirement. Section or Section

76 CalSTRS Golden Handshake District gave a CalSTRS Golden Handshake to a member. That Retiree is prohibited from working for that same employer for 5 years. If the Retiree works for the same district (even as a substitute), he or she will forfeit the golden handshake. 76

77 Employers Can Assist Retired Members Discuss the duration of the assignment with the member and check whether member is eligible for exemption/exclusions & determine if the member may exceed the earnings limit. Educate employees regarding Post-Retirement Excess Earnings Notification Process. Obtain, complete & submit exemption forms on member s behalf and inform the member of the current CalSTRS fiscal year retirement earnings limitations. Report correct dates for retirees who return to Post-Retirement employment. Determine if the member qualifies for CalSTRS exemptions. 77

78 Employer Requirements/STRS Notifications Employer Requirements: Notify the retired CalSTRS members about the employment restrictions & earnings limitations. Education Code Post-retirement earnings must be reported with Member Code 2 and Assignment Code 61. STRS Post-Retirement Excess Earnings Notifications to Members Initial Post-Retirement Earnings letter. Post-Retirement earnings Mid-Limit letter. A letter when a member Exceeds Earnings limit. 78

79 PERS Retiree Hired in a Certificated Position If PERS Retiree accepts a STRS qualifying job. o PERS retiree can work into a STRS qualifying positions without any impact on PERS benefit. o Retiree must verify with PERS and STRS. If a PERS Retiree accepts a STRS non- qualifying job. o PERS retiree can work into a STRS non qualifying positions without any impact on PERS benefit. o STRS non-member rules apply. o If needed, Retiree can become STRS member upon meeting STRS membership qualification. 79

80 Contact CalSTRS Special Rules Apply 80

81 Disability Allowance The disability allowance earnings limit for the fiscal year is calculated individually for each member. The limit applies to all earnings regardless of whether the earnings are in the public or private sector. 2018??? Disability Retirement Earnings Limit 12 month calendar year limit for members on a Disability Retirement Limit = $29,550 (Coverage B) Contact CalSTRS Special Rules apply 81

82 Check with CalSTRS before reinstatement. Affects various areas: Whether reinstatement is less than or greater than one year. Retirement Incentive. Health insurance premium deductions. Medicare premium. Impact of PEPRA changes (AB 340). 82

83 Which Rules apply? Government Code/Education Code If hired in certificated position CalSTRS Rules apply If hired in classified position, Can work in a Retired Annuitant Compliant position. Can work only as Instructional Aide. CalPERS rules apply. Have Retiree contact PERS and STRS 83

84 Questions 84

85 Medical Certificate 85

86 If it is your first time to be hired after retirement, you will need a Medical Certificate on file at the employing agency. Note: For K-12, County Office keeps the form & Community Colleges keep their forms. 86

87 Other Employment Issues The Employer will probably require you to be fingerprinted. 87

88 What About Social Security and Medicare? 88

89 Position is not covered by a Section 218 Agreement and; Position is covered by the same retirement system he/she retires from. Medicare tax will apply if re-hired after March 31,

90 The fact a person is receiving benefits from Social Security and/or Medicare does not exempt them from paying contributions from their pay. Social Security/Medicare contributions from a paycheck are considered a payroll tax. 90

91 Social Security Earnings limit Under Federal law, people who are receiving Social Security benefits who have not reached full retirement age are entitled to receive all their benefits as long as their earnings are under the limits. In 2018, the full retirement age is 65 and 8 months for retirees born in and 10 months for retirees born in for retirees born in & 2 months born in 1955 Under full retirement age, 2018 limit is $17,040/Year Monthly Benefit in 2018 = $1,420/Month At full retirement age or older No limit on Earnings

92 Employment for Retirees/Resources Employment Development Department Website address Find a Job Services for Older people California Department of Aging Senior Community Services Employment Program For Orange County, Anaheim Workforce Center (714) Cal Jobs - Post your resume for employers. Experience Unlimited Job Clubs-Networking. CA Department of Aging. 92

93 Getting Started As a Consultant 93

94 So, Is Consulting Right for You? Able to see the big picture? Willing to work hard and sacrifice for your business? Can you remain calm in times of Stress? Keep perspective? Good communicator? Good Listener? Writer? Speaker? Convincing? Confident? Influential? Credible? 94

95 Getting Started as a Consultant Open a business checking account. Dedicate one of your credit cards for business expenses only. Talk to an accountant, preferably someone with small business experience. Insurance agent or broker for disability insurance & general liability insurance. Make yourself available online. If you Google your name, what comes up? 95

96 Getting Started as a Consultant Print business cards. Set up a safe mailing address strongly suggest to get a PO box address unless you feel comfortable sharing your home address with strangers. Set up a business phone line. Set up a dedicated office space. Tell everyone you know that you are starting a consulting practice. 96

97 Getting Started as an Consultant Join a consulting group. Network, network, network. Consultant Fees To set fees (Hourly, Daily or Fees by the Project). 97

98 If Possible Operate Under a Business Name and Business License. Apply to the IRS for an Employer Identification Number (EIN #) instead of using your Social Security Number. For more information Refer to Internal Revenue Service, IRS website: Employer ID Numbers (EIN) How to Apply 98

99 Have printed stationery and business cards showing the business name. Invoices should be on business stationery. It looks better if you are paid by the job rather than hourly, (though not a requirement). 99

100 Provide all your own materials and supplies for the job. Make and pay your own travel expenses and bill the firm/district for the cost. Bill them as a business cost not a reimbursement. 100

101 Make sure you are filing Business Tax Forms and taxes. As a Independent Contractor you will be required to pay full portion of Social Security Taxes on your profit. You will need to have general liability and workers compensation insurance for your business. Have a Vita available listing all your clients. 101

102 Desired Outcome Rehire Options of a Retiree. Work in a Private Sector. Work as an Independent Contractor. Employment after CalPERS Retirement. Employment after CalSTRS Retirement. Social Security. 102

103 Questions 103

104 CalPERS 1(888) CalSTRS 1(800) Social Security 1(800) EDD ( Help) 1(800)

105 How Can I Find A Retiree To Hire? 105

106 Thank you for your time! CASBO WEB SITE 106