Can retirees work over 1,000 hours without pension suspension?

Short answer Yes. Under Michigan Public Act 67 of 2026, retired county employees who return to work for their former county’s sheriff’s office or prosecutor’s office can keep receiving their full pension payments regardless of how many hours they work. This applies even if they exceed the standard 1,000-hour annual limit that typically triggers a suspension of benefits for other county re-employment.

What the bill or law says The legislation amends Section 12a of the County Board of Commissioners Act (1851 PA 156). Previously, general rules required that a retirant’s pension be suspended if they were employed by the same county from which they retired, unless they worked fewer than 1,000 hours in a 12-month period or met other specific criteria [https://legislature.mi.gov/documents/2025-2026/publicact/htm/2026-PA-0067.htm].

Public Act 67 adds two new exceptions to this suspension rule. Pension payments continue unchanged if the retirant is employed by:

  1. A county sheriff’s office, which explicitly includes sheriff’s office correction employees.
  2. A county prosecutor’s office.

The text specifies that during this re-employment, the retirant is not considered a member of the retirement plan. They do not accrue additional retirement credits, and their pension amount does not increase because of this new work [https://legiscan.com/MI/text/HB4471/id/3453803].

How it works in practice For a retired county employee, this means they can accept a full-time or part-time position with their former county’s sheriff or prosecutor without the administrative penalty of having their monthly pension check stopped. In previous years, working more than 1,000 hours for the same county would have forced a suspension of benefits until the employment ended.

Now, a retired deputy or assistant prosecutor can return to duty, earn a salary, and continue collecting their previously earned pension simultaneously. The county pays them a wage for their current labor, while the retirement system continues its separate obligation to pay the annuity based on past service. The retiree simply does not participate in the pension fund during this second stint; no new contributions are made by the employee or the county toward future retirement benefits for this specific period of work.

What the source does not answer The statutory text does not clarify whether counties are required to offer these positions to retirees or if the decision is entirely at the discretion of local hiring managers. It also does not specify how this interacts with other potential benefit caps, such as federal Social Security earnings limits, which are separate from state pension rules. Additionally, the law does not detail whether other county departments, such as public works or health services, might seek similar exemptions in the future, nor does it provide data on how many retirees are expected to utilize this provision.

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