President Biden has signed the Social Security Fairness Act to boost payments for public sector retirees. This new law ends decades-old rules that cut retirement benefits. The law removes both the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO). These rules had affected more than 3.2 million Americans who got pension payments from jobs where they didn’t pay Social Security taxes.
The change means many people will get much bigger monthly checks. Some retirees will see their payments grow by up to $587 each month. The Social Security Fairness Act will help about 230,000 Ohioans and millions across the country. These beneficiaries will receive an average monthly increase of $360 starting in 2024. The law also provides back payments from January 2024. The Social Security Administration plans to start these payments in February 2025. Most people should get their one-time back payment by March 2025. The actual amount will depend on each person’s situation and pension amount.
Table of Contents
- 1 Who Will Benefit from the New Law
- 2 How Much More You Could Receive
- 3 When and How Payments Will Be Made
- 4 What You Need to Do Now
- 5 Final Thoughts on the Social Security Fairness Act
- 6 Here are some FAQs about Biden signs social security fairness act for increased payments to public sector retirees:
- 6.1 What is the Social Security Fairness Act that President Biden signed?
- 6.2 Who benefits from the Social Security Fairness Act?
- 6.3 How does this act affect Social Security payments for retirees?
- 6.4 When will retirees start seeing increased payments?
- 6.5 Why was this act seen as necessary by public workers and unions?
Why these provisions were called unfair
Congress created WEP and GPO to stop what they saw as “double-dipping” – getting both full Social Security benefits and separate government pensions. But people increasingly criticized these rules as too harsh on public servants.
Many workers never knew about these penalties when choosing their careers. No law required telling employees about these cuts until 2005. The rules also hurt middle and low-wage workers more, even though they aimed to prevent windfalls for higher earners.
The rules treated public pensions like Social Security benefits, despite big differences in how people earned and paid taxes on them. Most people hit by WEP actually got non-covered pensions higher than typical Social Security retirement payments. In 2022, they averaged $2,690 monthly – about $865 more than the average Social Security retired worker benefit of $1,825.
The Social Security Administration confirmed December 2023 as the last month WEP and GPO applied. Starting January 2024, benefits no longer face these cuts. The Social Security Fairness Act will boost benefits for over 2.8 million Americans who previously saw their Social Security payments reduced or eliminated.
Who Will Benefit from the New Law
The Social Security Fairness Act provides money to about 2.8 million Americans who get pensions from work not covered by Social Security. Most state and local public employees—about 72%—already work in Social Security-covered jobs. Several groups will get bigger benefits under this new law.
Teachers and educators
The law helps educators who retire from or worked in public schools across 15 states: Alaska, California, Colorado, Connecticut, Georgia, Illinois, Kentucky, Louisiana, Maine, Massachusetts, Missouri, Nevada, Ohio, Rhode Island, and Texas. School districts in these states don’t use Social Security but have their own pension systems.
This new law makes America’s complex retirement benefits easier to understand. Teachers used to face big cuts in their benefits if they worked part of their career in private sector jobs or other states where they paid Social Security taxes. Now they can get their full Social Security benefits along with their teacher pensions.
Educator unions called these benefit cuts especially harsh for public-sector workers whose pension payments weren’t enough for retirement security. The Congressional Budget Office says affected people will get an extra $360 per month by December 2025.
Firefighters and police officers
First responders in many states have spent decades fighting what they saw as unfair penalties on their retirement benefits. Some firefighters and police officers will now get up to $587 more in their monthly Social Security checks. This means more money for public safety professionals who spent part of their careers in positions covered by Social Security.
Edward Kelly, President of the International Association of Fire Fighters, celebrated the signing: “40 years of being treated like second-class citizens, a wrong has finally been righted”. Surviving spouses of first responders will benefit even more. They used to lose two-thirds of the pension amount, which often meant no benefits at all.
Federal employees under CSRS
Federal workers hired before January 1, 1984, who were part of the Civil Service Retirement System (CSRS) will benefit from this law. CSRS participants didn’t pay Social Security taxes on their federal earnings, unlike employees under the Federal Employees Retirement System (FERS) after 1984.
CSRS employees who also worked in Social Security-covered jobs during their careers will see big changes. Their earned Social Security benefits were previously reduced or eliminated. Postal workers under CSRS and other federal employees who worked both in government and private sector will benefit.
Workers with foreign pensions
Americans who worked abroad and earned foreign pensions will get more money thanks to the Social Security Fairness Act. Workers can now get their full benefits if they were covered by foreign social security systems in any of the 29 countries that have Social Security agreements with the U.S..
Old rules reduced Social Security benefits by a fixed percentage for people getting pensions from foreign employers. The GPO also cut spousal and survivor benefits for those with foreign government pensions. Now expatriate workers can get both their foreign pensions and full Social Security benefits without any cuts.
Spouses getting benefits based on their partner’s work record will see about $700 more each month. Surviving spouses will get even more – an average of $1,190 extra per month.
How Much More You Could Receive
The repeal of the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) means more money for millions of Americans. President Biden’s signature on the Social Security Fairness Act allows retirees to expect bigger monthly checks.
Average monthly increase estimates
The Social Security Administration has started sending higher monthly payments and retroactive benefits to about 3.2 million public sector retirees. Many beneficiaries’ monthly checks are growing between $360 and $1,190 based on their situation.
The Fairness Act changes came with a 2.5% cost-of-living adjustment (COLA) in January 2025. This COLA raised the average retired worker’s benefit from $1,927 to $1,975 monthly—adding $48. Other groups also got COLA increases:
- Spouses of retired workers got $22 more monthly (from $905 to $927)
- Aged widows/widowers received $45 more (from $1,788 to $1,833)
- Disabled workers saw $38 more (from $1,543 to $1,581)
Maximum potential benefit boost
Some retirees hit by WEP and GPO are seeing remarkable increases beyond the COLA. The SSA confirms that some people could get “over $1,000 more each month” with these provisions gone.
The Congressional Budget Office reports that spouses getting benefits from their partner’s work record now receive about $700 more monthly. Surviving spouses are getting even bigger increases—about $1,190 per month.
Someone retiring at full retirement age in 2025 can get a maximum Social Security benefit of $4,018 monthly. This amount goes up to $5,108 monthly for those who wait until age 70. WEP and GPO used to keep many public sector workers nowhere near these maximum amounts.
Examples of real-life benefit changes
The law’s financial effects show up clearly in family benefits. A widowed mother with two children now gets $3,767 monthly after the 2.5% COLA—$91 more than before. Families with a disabled worker, spouse, and children receive monthly benefits of $2,822, which is $69 higher.
Not everyone sees big increases. The Social Security Administration says “The amount monthly benefits may change can vary greatly… some people’s benefits will increase very little”. All the same, retroactive payments give substantial one-time boosts—averaging $6,710 according to recent SSA data.
By early March, the SSA paid more than $7.5 billion in retroactive benefits to 1,127,723 people affected by the Fairness Act. These payments cover increases going back to January 2024, when WEP and GPO stopped affecting benefits.
When and How Payments Will Be Made
The Social Security Administration has started implementing the Social Security Fairness Act. Retirees want to know when they’ll get their increased payments. The SSA created a detailed schedule after President Biden signed this important law.
Retroactive pay schedule
The SSA started processing retroactive payments on February 25, 2025. Affected beneficiaries received back pay for increases dating to January 2024. The agency distributed more than $7.50 billion in retroactive benefits to 1,127,723 people through early March 2025. Each recipient got an average payment of $6,710. The agency has processed 91% of all cases. The SSA’s new Commissioner Frank Bisignano plans to resolve remaining claims by July 1.
Monthly benefit increase timeline
Most beneficiaries started getting their increased monthly payments in April 2025 for their March 2025 benefit. Social Security payments arrive on Wednesdays based on people’s birthdates:
- Born 1st-10th: Second Wednesday (April 9)
- Born 11th-20th: Third Wednesday (April 16)
- Born 21st-31st: Fourth Wednesday (April 23)
The SSA plans to update all beneficiary records by early November 2025. Complex cases that need manual processing might take extra time.
What to expect in your bank account
Retroactive payments show up as a single deposit in your SSA-registered bank account. Your new monthly amount follows, ranging from small increases to over $1,000 per month based on your situation. The SSA processes monthly benefit increases and back payments together. The agency asks people who haven’t received payments to verify their direct deposit and address details.
Mail notifications and delays
The SSA sends mail notices explaining benefit adjustments to all recipients. Some people might get two notices – one for WEP/GPO removal and another for monthly benefit adjustments. The agency now uses a simple one-page notice with specific dates and amounts. About 200,000 complex cases need manual review, which causes some delays. People can also check these notifications through their My Social Security accounts online.
What You Need to Do Now
President Biden’s signature on the Social Security Fairness Act means you should act now to get your benefits quickly. You can take several steps to secure your increased benefits without delays, whether you already receive payments or just became eligible.
Update your direct deposit info
Your direct deposit information plays a vital role in getting both retroactive payments and monthly increases. You have these options to update your banking details:
- Change direct deposit information online through your my Social Security account
- Contact your bank, credit union, or savings and loan association
- Call the Treasury’s Electronic Payment Solution Center at 1-800-333-1795
SSI recipients can check their payment method through the My Profile tab but cannot update direct deposit online.
When to contact SSA for help
You should call the SSA directly at 1-800-772-1213 if:
- You can’t create an online account
- You need help with Medicare premium deductions
- You need assistance accessing your account after multiple tries
- You have questions about the Social Security Fairness Act’s impact on your situation
Complex cases might need a financial advisor to understand these changes’ effect on your monthly benefits.
Final Thoughts on the Social Security Fairness Act
The Social Security Fairness Act marks a historic win for millions of public servants who gave their careers to serve their communities. President Biden’s signature on this groundbreaking law ends years of reduced benefits that many saw as unfair to teachers, firefighters, police officers, and other public employees.
These changes will help 3.2 million Americans. Monthly payments will rise between $360 and $1,000 based on each person’s situation. On top of that, retroactive payments averaging $6,710 give quick financial relief to affected retirees. The Social Security Administration has paid out more than $7.5 billion to over 1.1 million people already. Some complex cases might need a few more months to process fully.
Public sector workers deserve these restored benefits after years of reduced payments under the WEP and GPO rules. Teachers who worked in different states, firefighters with second jobs, and federal employees under the Civil Service Retirement System will now get their full earned benefits with no random cuts.
People who qualify should check their Social Security accounts right away. They need to verify their direct deposit details and contact the SSA if they never applied because of previous penalties. Most payments have started flowing, but anyone facing delays should make sure the administration has their current information.
This law’s effects reach beyond individual recipients into their communities. Local economies will grow stronger, especially in states like California, Texas, Ohio, and Massachusetts, where many affected workers live. These extra funds will boost spending at local businesses.
Public sector unions and retiree groups fought for 40 years to remove these controversial rules. Their success brings justice to dedicated public servants. Their retirement benefits now match the real value they brought to American society.
What is the Social Security Fairness Act that President Biden signed?
The Social Security Fairness Act is a legislative reform aimed at eliminating the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO). These rules previously reduced Social Security benefits for many public sector retirees. With this act signed by President Biden, public workers such as teachers, police officers, and firefighters may now receive full Social Security benefits based on their contributions.
Who benefits from the Social Security Fairness Act?
Public sector retirees—such as educators, law enforcement, and other government employees—stand to benefit from this act. Many of them were previously penalized by WEP and GPO rules, which reduced their Social Security payments. This legislation restores fair access to full benefits they’ve earned over their careers.
How does this act affect Social Security payments for retirees?
The act removes unfair reductions, allowing retirees to receive increased Social Security payments. For many, this means hundreds of dollars more per month. It is a major financial improvement, especially for those who relied on both a government pension and Social Security.
When will retirees start seeing increased payments?
Implementation timelines may vary, but once the law takes effect, qualified retirees should begin to see adjustments in their Social Security checks within months. The Social Security Administration is expected to provide more detailed schedules and guidance.
Why was this act seen as necessary by public workers and unions?
Many believed the old provisions unfairly punished those who served in public roles. The act addresses long-standing concerns about equity and fairness in retirement income. Unions and advocacy groups pushed for this change to ensure all retirees receive the benefits they’ve contributed to throughout their working lives.