Thousands of people in the United States are at risk of not receiving their full Social Security benefits due to a federal law from 1983, called the Windfall Elimination Provision (WEP). This law affects people who worked in public service jobs, such as teaching or government positions, and who also had pensions from jobs that didn’t pay Social Security taxes. As a result, their Social Security benefits are reduced. However, there’s a new law, the Social Security Fairness Act, which aims to change this situation and provide relief for many people impacted by WEP.
The Windfall Elimination Provision (WEP)
The Windfall Elimination Provision (WEP) is a federal law that reduces Social Security benefits for public workers who have worked in jobs that didn’t pay into Social Security. This means that people who receive a pension from those jobs could face a reduction in the amount of Social Security money they get after retiring.
For example, Verdaillia Turner, a retired teacher in Atlanta, explains how she has always worked a second job while teaching. Even though she has paid into Social Security, the WEP has reduced her benefits. She is one of between 50,000 and 70,000 people in Georgia who could be affected by this law.
The Social Security Fairness Act
Recently, there has been some good news for those affected by the WEP. The House of Representatives passed the Social Security Fairness Act. This Act aims to eliminate WEP and give people like Verdaillia Turner a fair chance to receive their full Social Security benefits without being penalized.
Changes Coming in the New Year
Apart from the WEP issue, there are other important changes happening with Social Security benefits. For instance, in October 2024, the Cost-of-Living Adjustment (COLA) was set at 2.5%, which is the lowest increase in the past four years. This means that people who receive Social Security payments will get an extra $48 per month, totaling $576 over the course of the year.
Social Security Payment Amounts
As of 2025, the average Social Security check will be $1,968 per month. However, if a person waits until their full retirement age, which is 67 for people born after 1960, they can receive the full amount of benefits. For example, someone who waits until 67 to retire could get up to $4,018 per month, which is higher than the $3,822 last year.
Other recipients, such as single disabled people or widows and widowers, will see their payments increase to $1,832. If a disabled person has a spouse and children, their monthly payment could increase to $2,826.
Conclusion
In conclusion, many Americans are facing changes to their Social Security benefits, especially due to the Windfall Elimination Provision. However, the Social Security Fairness Act offers hope for fairer benefits. Additionally, 2025 brings higher payments for retirees and other groups, thanks to the Cost-of-Living Adjustment (COLA). While the situation is still evolving, these changes could make a significant difference for many individuals.
FAQ’s
What is the Windfall Elimination Provision (WEP)?
The WEP is a rule that reduces Social Security benefits for public workers who receive pensions from jobs that didn’t pay into Social Security.
When will Social Security payments increase?
Social Security payments will see an increase starting in January 2025, due to the Cost-of-Living Adjustment (COLA).
How much will Social Security payments increase in 2025?
The average Social Security payment will increase to $1,968 per month in 2025, with potential higher amounts for those waiting until their full retirement age.