March 16, 2020 Guest Post – Yackley & Rowland, P.A. “Coordination of Benefits Under PERA”
One question we are often asked at Meuser, Yackley & Rowland, P.A. is whether you can receive PERA Duty Disability benefits and still work in another job. We are also asked if you can receive PERA Duty Disability benefits and Minnesota Workers’ Compensation benefits at the same time. The answer to both questions is yes, but there are some limitations.
PERA Police and Fire Plan
Re-employment
If you are receiving Duty Disability benefits under the Police and Fire Plan and return to work in a position not normally covered by the Police and Fire Plan, you may continue to receive a Duty Disability benefit. Your combined salary and benefit cannot exceed the salary you were earning before your disability or 125% of the base salary currently being paid by your former employer for a similar position, whichever is higher. The disability benefit must be reduced by $1.00 for every $3.00 you receive above the limit.
Workers’ Compensation
If you are receiving Workers’ Compensation benefits and are receiving PERA Duty Disability, the amount you receive cannot be more than the higher of either the salary you were receiving before your disability began or the current salary for a similar position.
What Does This Mean?
If you have a denied Workers’ Compensation claim and are not working in another job, then PERA will not reduce the amount of your disability benefit.
If you have a denied Workers’ Compensation claim and are working in another job, then your PERA disability benefit will only be reduced $1.00 for every $3.00 if a combination of re-employment earnings and PERA benefits exceeds 125% of your salary at the time of your disability or the current salary of the same or a similar position, whichever is higher.
If you are receiving Workers’ Compensation benefits and PERA Duty Disability benefits, but are not working in another job, then your PERA benefit will be reduced dollar-for-dollar if you exceed 100% of your salary at the time of your disability, or the current salary for the same or a similar position, whichever is higher.
If you are receiving Workers’ Compensation benefits, PERA Duty Disability benefits, and are working in another job, then your PERA disability benefit will only be reduced $1.00 for every $3.00 if a combination of re-employment earnings, Workers’ Compensation, and PERA benefits exceeds 125% of your salary at the time of your disability or the current salary of the same or a similar position, whichever is higher.
PERA Correctional Plan
Re-employment
If you are receiving Duty Disability benefits under the Correctional Plan and return to work in a position not normally covered by the Correctional Plan, you may continue to receive a Duty Disability benefit. However, your combined salary and benefit cannot exceed the salary you were earning before your disability or the salary currently being paid for a similar position, whichever is higher.
Workers’ Compensation
If you are receiving Workers’ Compensation benefits and are receiving PERA Duty Disability, the amount you receive cannot be more than the higher of either the salary you were receiving at the time your disability began or the current salary for a similar position.
What Does This Mean?
If you have a denied Workers’ Compensation claim and are not working in another job, then PERA will not reduce the amount of your disability benefit.
If you are receiving Workers’ Compensation benefits and PERA Duty Disability benefits, but are not working in another job, then your PERA benefit will be reduced dollar-for-dollar if you exceed 100% of your salary at the time of your disability, or the current salary for the same or a similar position, whichever is higher.
If you are receiving PERA Duty Disability benefits, Workers’ Compensation benefits, and are working in another job, then your PERA benefit will be reduced dollar-for-dollar if you exceed 100% of your salary at the time of your disability, or the current salary for the same or a similar position, whichever is higher.
Coordinating your benefits can be complicated. Because our attorneys are experienced in both workers’ compensation and PERA disability, we can help you navigate the legal and procedural complexities to make sure you maximize your benefits from all sources. Contact the experienced team at Meuser, Yackley & Rowland, P.A. for a free, no-obligation and confidential consultation. Call us today at 1-877-746-5680.
