The repeal of the controversial WEP and GPO provisions, in place for decades, promises to increase benefits for more than 3.2 million public sector retirees. However, the Social Security Administration (SSA) warns that retroactive payment adjustments could be extended by up to one year due to operational limitations. The measure, included in the Social Security Fairness Act, was enacted on January 5, 2025.
The WEP (Windfall Elimination Provision) and GPO (Government Pension Offset) provisions were created to prevent public workers with government pensions from receiving “double” Social Security benefits. However, critics argued that these rules unfairly reduced the income of retirees in sectors such as education, security and firefighters.
Some cuts to Social Security payments were eliminated: prepare for more money
The repeal eliminates cuts that, in some cases, exceeded 50% of benefits. According to the SSA, the process of recalculating payments for 3.2 million people requires reviewing work histories, pensions and adjusting monthly amounts. This, coupled with a limited budget and a shortage of technical staff, explains the delays.
Beneficiaries could see monthly increases that in some cases can be around $200 but can even amount to $500, while those affected by the GPO would have increases of up to 100% in survival aid.
The retroactive payments will add up to all the money that was not received since January 2024, and some beneficiaries have reported receiving up to $5,000. However, no amount is guaranteed, as each case is individual. In addition, the SSA has warned that some amounts could be sent to beneficiaries even until the end of 2026.
The agency will prioritize those who request their adjustments first, although it warns that even immediate requests could take 12 months. “We are working with limited resources,” stated an anonymous SSA spokesperson. “We ask for patience from those affected as we modernize our systems.”
SSA urges potential beneficiaries to act urgently:
- File your benefit adjustment request immediately, even if you already receive payments.
- Collect documents such as employment histories, pension statements, and previous Social Security records.
- Explore financial alternatives, such as IRA withdrawals or local assistance programs, to mitigate the impact of the delay.
- In any case, the first thing you should do is consult a financial expert or even a retirement or Social Security professional.
Experts consider that this repeal could promote structural changes in the system. Among the proposals under discussion are increasing taxes on high-income taxpayers, raising the retirement age or expanding coverage for retirees with fewer resources.
What will happen in 2034 is also being studied, the year in which the trust fund that supports Social Security can begin to be exhausted. No Some organizations such as the National Association of Public Retirees demand that Congress allocate more funds to the SSA to streamline processes and avoid defunding or movements such as cuts to current payments or increases in the retirement age.