Social Security Fairness Act Marks a Win for Public Sector Retirees
The Social Security Fairness Act (Act) was signed into law on January 5, 2025. This legislation ends the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) that reduced or eliminated the Social Security benefits of over 3.2 million people.
The WEP affected individuals who worked in jobs not covered by Social Security and later qualified for Social Security benefits through other employment – reducing their benefits to prevent a “windfall.” The GPO reduced spousal or survivor benefits for those who also received a government pension from non-Social Security-covered employment.
With the repeal of these provisions, the Act increases benefits for certain types of workers, including some:
Teachers, firefighters, and police officers in many states;
Federal employees covered by the Civil Service Retirement System; and
People whose work had been covered by a foreign social security system.
In simple terms, the Act represents a significant shift in retirement benefits for public sector employees, aiming to provide them with the full Social Security benefits they have earned. Here are answers to some commonly asked questions. For additional information, please click here.
Will every public worker receive a benefit increase because of the new law?
Not necessarily. Only people who receive a pension based on work not covered by Social Security may see benefit increases under this new law. Most state and local public employees - about 72% - work in Social Security-covered employment where they pay Social Security taxes and are not affected by WEP or GPO. Those individuals will not receive a benefit increase due to the Act.
By how much may a person's monthly benefit increase?
This amount may vary greatly. Depending on factors such as the type of Social Security benefit received and the amount of the person's pension, some people's benefits will increase very little while others may be eligible for over $1,000 more each month.
How far back might eligible individuals receive increased benefits?
December 2023 is the last month that WEP and GPO will apply. This means that those rules no longer apply to benefits payable for January 2024 and later. As a reminder, Social Security benefits payable for January 2024 would generally have been received in February 2024.
What should people do now that the Social Security Fairness Act is law?
Because the GPO could reduce or eliminate Social Security spouses' or surviving spouses' benefits, some non-covered pension recipients may have never applied for benefits. If you never applied for spouses' or surviving spouses' benefits, you may need to file an application. The date of your application might affect when your benefits begin. Filing sooner might help you get a higher benefit amount.
How do I apply for retirement or spouse’s benefits?
The most convenient way to apply for the retirement benefit is by visiting www.ssa.gov/apply. If you’re unable to apply online for the retirement benefit or wish to apply for the survivor benefit, call 1-800-772-1213 on weekdays.
The Social Security Administration is working to adjust some people's past benefits, as well as future benefits. Processing these changes is currently done manually, on a case-by-case basis. If you’re a beneficiary, be sure to stay informed and seek professional advice if you need help understanding how these changes affect your individual circumstances.
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