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SD 689

An Act increasing the cap on outside income for public pension recipients

194th Legislature (2025-2026) Introduced by Nick Collins and 3 co-sponsors

Massachusetts bill raises the outside-income cap for public pension recipients from $15,000 to $65,000, expanding earnings opportunities for retirees.

House concurred
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Bill Summary · SD 689

Summary: SD 689 — An Act Increasing the Cap on Outside Income for Public Pension Recipients

Overview

SD 689, titled “An Act increasing the cap on outside income for public pension recipients,” proposes a straightforward change to the cap on outside income for individuals receiving public pensions. The bill, introduced in the 2025-2026 legislative session, would raise the cap from $15,000 to $65,000. The measure is a Senate-driven proposal that has moved to the House and is currently listed as having “House concurred.”

Key provision

  • Section 91A of Chapter 32 of the General Laws would be amended by replacing the current outside income cap:
    • From: $15,000
    • To: $65,000
  • The amendment is codified by striking the figure "$15,000" in line 27 and inserting "$65,000" in its place.

Purpose and intent

  • The primary aim is to significantly increase the limit on outside income that public pension recipients can earn while receiving pension benefits, potentially broadening earnings opportunities for retirees who rely on public pension income.

Who is affected

  • Public pension recipients in Massachusetts who earn outside income. The change directly affects how much outside income can be earned without triggering the existing cap restrictions under the General Laws.

Procedural and timeline details

  • Introduced: February 27, 2025.
  • Legislative actions recorded:
    • Referred to the Senate committee on Public Service on February 27, 2025.
    • House concurrence noted on the same date, indicating movement toward finalizing the measure within the Legislature.
  • Caption: Part of the 194th General Court (2025-2026).
  • Status: House concurred (as per the provided information), suggesting the bill has advanced through the House in alignment with Senate action.

Additional considerations

  • The provided text does not include explicit details about how the cap interacts with pension amounts beyond the change in the statutory figure, nor any associated fiscal impact, exemptions, or transition provisions. No effective date is specified in the excerpt.
  • As with any pension-related reform, potential considerations include impacts on retiree earnings, pension fund sustainability, and administrative processing, though such implications are not detailed in the bill text provided.

Next steps

  • If enacted, the bill would continue to the Governor for signature or veto. Depending on final House and Senate actions and any negotiated amendments, the exact implementation timeline would follow any declared effective date in the final enacted language.

Compiled from official sources — confirm details with the bill’s official record.

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