Social Security Fairness Act Payouts

​The Social Security Fairness Act was signed into law on January 5, 2025. Read below to see how this may affect you if you receive a pension…

The Social Security Fairness Act repeals the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO), which previously reduced or eliminated Social Security benefits for over 3.2 million individuals receiving non-covered pensions, including many teachers, firefighters, and police officers.
 
Retroactive Payments:
The Social Security Administration (SSA) began issuing retroactive payments in February 2025. As of March 4, 2025, over 1.1 million beneficiaries have received more than $7.5 billion in retroactive payments, with an average payment of approximately $6,650.
 
Increased Monthly Benefits:
Starting in April 2025, beneficiaries affected by the repeal of WEP and GPO will see an increase in their monthly Social Security benefits.
 
Implementation Timeline:
While many beneficiaries have already received adjustments, the SSA anticipates that processing all cases, especially complex ones, may take a year or more.
 
Tax Implications:
The retroactive payments and increased monthly benefits may have tax consequences. Be sure to check with your tax professional to understand potential impacts on your individual tax situation.
 
Avoiding Scams:
Be cautious of scams related to the Social Security Fairness Act. The SSA will communicate directly with you regarding benefit adjustments and will not request personal information or fees over the phone or via email.
 
For the latest updates and detailed information, visit the SSA's official page on the Social Security Fairness Act at www.ssa.gov.