January 31, 2025, Update
The Social Security Administration (SSA) has updated its guidance on the implementation of the Social Security Fairness Act, eliminating the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO). The SSA has established a new webpage with an FAQ, available here:
The new information says “SSA is finalizing its plan to implement the Act while limiting negative effects on our regular workloads and services to the public. We cannot yet provide an estimated timeframe for when we will adjust a person's past or future benefits, but we will continue to provide updates on this webpage.”
January 5, 2025, Update
The Social Security Fairness Act Repealing the WEP and GPO was signed by President Biden on January 5, 2025, and repeals the Windfall Elimination Program and Government Pension Offset. Upon implementation, the Social Security Fairness Act eliminates the reduction of Social Security benefits for individuals receiving public pensions from work not covered by Social Security.
The Social Security Administration is now evaluating how to implement the act and will provide additional information as that plan is formulated. Impacted individuals do not need to take any action at this time, and regular updates will be provided at this page from the Social Security Administration.
On December 21, 2024, the United States Senate passed H.R. 82, also known as the Social Security Fairness Act of 2023, by a vote of 70-26. The legislation passed out of the House last month with a 327 to 75 vote. This significant legislation, more than two decades in the making, reforms Social Security by repealing two controversial provisions: the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO).
The repeal will bring welcome relief to nearly three million Americans who have their benefits reduced by the WEP and GPO. The repeal is expected to be retroactive to benefits paid after December 2023, although it is unclear how long it will take to restore benefits or how the payments will be made.
Key Provisions of H.R. 82
Repeal of the Windfall Elimination Provision (WEP):
- WEP reduces Social Security benefits for individuals who also receive a pension from non-Social Security-covered employment. This often impacts public servants including teachers, firefighters, and police officers.
- Impact: The repeal will restore full Social Security retirement and disability benefits for these individuals, providing them with financial relief. Benefits are expected to be restored from December 2023 going forward.
Repeal of the Government Pension Offset (GPO):
- GPO reduces spousal and survivor benefits for individuals receiving government pensions. This has led to significant financial challenges for many widows and widowers.
- Impact: The repeal ensures that spousal and survivor benefits are no longer reduced, offering financial stability to surviving spouses.