Annual Statement of Compensation

Disability recipients are required to file an Annual Statement of Compensation (ASC). This document requires reporting any compensation received by a recipient from sources outside of their MainePERS Disability Retirement benefit. The form is required to be returned to MainePERS annually, unless otherwise waived by MainePERS, along with a copy of any W2s, Corrected W-2s, Schedule SE and SSA-1099 associated with the recipient. Some members find it easier to submit their entire return. MainePERS will accept a complete copy of a tax filing in lieu of individual forms and schedules. Only the documentation required to be filed will be used when determining whether the earnings limitation has been exceeded or the recipient has met their substantially gainful activity amount. MainePERS may request documentation in addition to the forms and schedules listed above when necessary in order to verify earnings.

ASC packets are mailed each January to all members who received Disability Retirement benefits for any portion of the prior calendar year. The packet includes instructions for filing the ASC and provides the deadline for filing, which is consistent with IRS income tax filing deadlines. All materials must be returned by the deadline given in order to prevent interruption to the recipient’s monthly benefit.

MainePERS staff review ASC forms and supporting documentation for each recipient. When a recipient records having earned outside income, that income is assessed for its impact to eligibility for disability benefits and/or the amount the recipient should receive for their monthly benefit. Additionally, receipt of Social Security and Workers’ Compensation income may require an offset to a recipient’s MainePERS disability payment. Other sources of income must be compared against a recipient’s earnings limitation for the year. Disability recipients are encouraged to contact MainePERS immediately regarding changes to Social Security benefits, Workers’ Compensation benefits or outside earnings so any potential impact to their MainePERS benefit may be discussed.