Overtime and Earnings Limits for Tier 6

Overview

Retirement and Social Security Law limits pensionable earnings, that is, the earnings that can be included in the calculation of a NYSLRS pension. Tier 6 members are subject to limits on the amount of overtime and the total earnings that can be included.

 


Overtime Limits

Overtime limits depend on whether you are in the Employees’ Retirement System (ERS) or the Police and Fire Retirement System (PFRS).

Employees’ Retirement System Members

Overtime pay in excess of an annual cap is not pensionable and cannot be used in a final average earnings (FAE) calculation.

Effective January 1, 2018, the overtime cap increases each calendar year. The amount of the increase is based on the increase in the Consumer Price Index for the one-year period ending September 30 of the previous year. Prior to January 1, 2018, the overtime cap increased each fiscal year.

Calendar Year Overtime Limit
2022 $18,233
2021 $17,301
2020 $17,067
2019 $16,779
2018 $16,406
Fiscal Year* Overtime Limit
2017** $12,036
2016 $15,608
2015 $15,490
2014 $15,261
2013 $15,000
*The State’s fiscal year runs April 1 through March 31.
**Prorated overtime cap for April 1, 2017 through December 31, 2017.

Police and Fire Retirement System Members

Overtime pay in excess of 15 percent of your regular annual wages is not pensionable and cannot be used in the calculation of your FAE.

 


Earnings Limitations

Pensionable earnings (the earnings that can be included in the calculation of a NYSLRS pension) for ERS and PFRS Tier 6 members are limited to the Governor’s salary.

From April 1, 2012 through December 31, 2018, the Governor’s annual salary was $179,000. It was increased to $200,000 as of January 1, 2019, and to $225,000 as of January 1, 2020.

In fall 2021, the Governor’s salary was increased to $250,000, effective retroactive to January 1, 2021.

The earnings limit is applied on a State fiscal year (April 1 – March 31) basis, so when the Governor's salary increases at the beginning of a calendar year, the limit amount is prorated. The maximum earnings that can be applied toward your pension are shown in the chart below.

Earnings Period Earnings Limit
Beginning April 1, 2021 $250,000
April 1, 2020 through March 31, 2021 $231,250
April 1, 2019 through March 31, 2020 $206,250
April 1, 2018 through March 31, 2019 $184,250
April 1, 2012 through March 31, 2018 $179,000

 


(Rev. 12/21)