President Joe Biden signed the Social Security Fairness Act on Sunday, introducing significant changes to Social Security benefits for nearly three million Americans. This law repeals the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO)—two measures that had previously reduced or limited benefits for certain recipients.
“The bill I’m signing today is about a simple proposition: Americans who have worked hard all their life to earn an honest living should be able to retire with economic security and dignity — that’s the entire purpose of the Social Security system,” Biden said during a signing ceremony in the White House East Room.
The WEP affected individuals who worked for employers that did not withhold Social Security taxes, such as government agencies or foreign employers. Under this provision, their Social Security benefits were reduced if they also received pensions from those jobs.
Similarly, the GPO lowered spousal, widow, or widower Social Security benefits for those who received their own government pensions. With the repeal of both provisions, eligible individuals will now receive their full Social Security benefits without reductions.
The changes introduced by this act are expected to benefit many current and former public sector employees, including teachers, firefighters, police officers, and others who rely on government pensions. Payments reflecting these updates will begin in January 2024, and the legislation also provides for back payments to individuals whose benefits were previously reduced under the WEP or GPO.
While the law has been signed, the Social Security Administration (SSA) is still determining how to implement the changes. Beneficiaries are awaiting further details, including whether any action will be required to claim back payments or ensure their full benefits are restored. The SSA has committed to providing additional information in the near future.
