The Social Security Administration is rolling out a significant benefit increase for 3.2 million retired public workers and their spouses. This change comes as a result of the Social Security Fairness Act, which eliminates the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO). Beneficiaries can expect retroactive payments in March 2025, followed by permanent monthly increases starting in April.
What is the Social Security Fairness Act?
Former President Joe Biden signed the Social Security Fairness Act in the final days of his term. The law repeals WEP and GPO, which previously reduced benefits for retirees who had pensions from jobs that were not covered by Social Security. This affected teachers, firefighters, police officers, and other public sector employees, as well as their spouses.
The new law applies retroactively to all benefits dating back to January 2024. Initially, the SSA estimated it could take up to one year to process adjustments and disburse payments. However, automation has accelerated the process, allowing most beneficiaries to receive their retroactive payments by the end of March 2025.
How Much Will Social Security Benefits Increase?
The exact increase will vary depending on an individual’s earnings history and the amount previously withheld due to WEP and GPO. On average, affected older Americans will see their monthly benefits rise by $360, but some could receive $1,000 or more per month. These higher payments will begin in April 2025, representing the March benefit payment cycle.
Beneficiaries should receive one or two notices from the SSA in the coming weeks detailing their adjusted benefit amount. Those who recently applied for Social Security may not receive retroactive payments if their benefits were never previously reduced under WEP or GPO.
Ensuring You Receive Your Payment
The SSA will deposit retroactive payments into the bank account on file. Beneficiaries should verify that their payment details are accurate by logging into their my Social Security account. If any changes are needed, updates can be made online, by phone, or at a local SSA office.
If you have not yet signed up for benefits, you must first submit an application. While retirement benefit applications can be completed online, spousal benefit applications require a phone call or an in-person visit to an SSA office.
What to Do If You Don’t Get Your Payment
The SSA advises waiting until April before reaching out with questions about retroactive payments. The agency also warns that some beneficiaries may have to wait up to a year to receive their payments due to complex processing requirements.
In some cases, the SSA may request additional pension information to ensure accurate payment adjustments. Beneficiaries should respond promptly to any SSA inquiries to avoid delays in receiving their increased benefits.
Final Thoughts
The repeal of WEP and GPO means millions of Americans will receive long-overdue increases in their Social Security benefits. With retroactive payments arriving by March’s end and permanent benefit increases beginning in April, retirees should ensure their SSA records are up to date. Staying informed and proactive will help ensure a smooth transition to these enhanced payments.
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