TN 10 (09-90)
Payments are wage exclusions under the Act if:
Made under an employer's plan, and
Upon or after termination of employment, and
Retirement is on account of disability.
Payments are not wage exclusions if they would have been made regardless of whether
or how the employment terminated.
NOTE: Retirement on account of disability must have been a condition of the plan for the
payment to be excluded from wages.
The examples in RS 01402.305, Payments Upon Death, also apply with respect to retirement for disability.
If development is necessary in order to make a wage exclusion determination, follow
the development outlined in RS 01402.305.