Less than seven months after being signed into law by President Joe Biden, the Social Security Administration (SSA) has announced that it has completed implementation of the Social Security Fairness Act.
According to the SSA, some 3.1 million retirees who were previously impacted by the WEP/GPO laws have received more than $14 billion in retroactive payments – most dating back to January 1, 2024. These same retirees will now receive a monthly Social Security payment that reflects the benefit they earned now that WEP/GPO have been fully repealed.
As of June 10 (last state-by-state data available), more than 117,000 MA residents had received more than $939 million in retroactive lumpsum payments.
“We continue to hear from members who have not only received large lumpsum payments but are now receiving a monthly benefit that had previously been significantly reduced or eliminated by WEP/GPO. This has truly been a ‘lifechanging’ event for the 3.1 million retirees who had been harmed by WEP/GPO,” said Mass Retirees CEO Shawn Duhamel, who has long been our Association’s point person on federal policy issues. “We have also heard from many members who did not realize that they are now eligible for Social Security benefits. If you think you might be eligible, then it is a good idea to apply.”
Social Security eligibility comes either through your own work history (a minimum of 40-quarters) or through that of a spouse. And while eligibility for Social Security retirement benefits begins at age 62, if you begin collecting earlier than your full retirement age the benefit is reduced due to early enrollment. That reduction is permanent and applies to spousal/survivor benefits, as well as a retiree’s own Social Security benefit.
“Even if you qualify for your own small Social Security benefit, you may also qualify for a larger spousal benefit. Assuming that you are at full retirement age, spousal benefits are equal to 50% of your spouse’s Social Security benefit. Survivor benefits are equal to 100% of the deceased spouse’s Social Security,” explains Mass Retirees General Counsel Bill Rehrey. “Also, keep in mind that you may also be eligible through a divorced spouse, so long as you were married for 10 years or longer.”
To apply for Social Security benefits, please visit SSA.gov or call your local SSA office.
We should also point out that not all public retirees now receiving Social Security benefits were impacted by the WEP/GPO laws. For instance, if you were either retired prior to the WEP/GPO taking effect in the early 1980s or eligible to retire at that time, then you have likely been collecting your full Social Security benefit all along without any reduction.
The same applies to those public retirees with 30 or more years (120+ quarters) of substantial earnings under Social Security. Substantial earnings essentially means fulltime employment paying into Social Security.
“Another important point is that we are aware that SSA continues to take a narrow view of retroactive benefits, when applied to those retirees previously impacted by the GPO. Unless there is a written record of having previously applied for benefits, SSA is not making the payment retroactive to 1/1/2024 and instead making the benefit retroactive six months from the date of the new application,” added Duhamel. “We disagree with this interpretation, as it is unfair to those retirees who received a verbal denial from SSA. However, absent congressional action or a successful legal appeal, the decisions of SSA are final.”
At this time, further congressional action regarding the Fairness Act is unlikely.