The Social Security Administration has paid out over $7.5 billion in retroactive benefits to about 1.13 million qualified individuals, marking the complete implementation of the Social Security Fairness Act.
The measure eliminates two regulations and increases monthly payments for current and past public workers whose benefits were cut because of “noncovered pensions.” Before the increase in monthly payments, the Social Security Administration is focusing on paying back beneficiaries, and they will continue to do so gradually throughout March.
So far, the average retroactive payout is $6,710, according to the SSA.
In April, for their March benefit, eligible people will start to see their increased monthly payout. Continue reading to discover the precise regulations that were eliminated and the individuals who stand to gain from the Social Security Fairness Act.
Below is a concise table highlighting the key dates and payment details:
Following its passage by the House in November, the Social Security Fairness Act was signed into law on January 5 by former President Joe Biden. Teachers, firemen, postal workers, and police officers will soon get larger benefits because it removes previous regulations that restricted their salaries.
It revokes these two regulations in particular:
To account for “noncovered pensions” and other incomes eligible for Social Security benefits, the 1983 Windfall Elimination Provision (PDF) establishes a formula to modify Social Security worker payments. If an employee’s company did not deduct Social Security taxes from their paycheck, the pension they received would be considered noncovered.
Event
Date
Payment Details
Social Security Fairness Act signed
January 5, 2025
Law enacted; WEP & GPO eliminated
Retroactive payments issued
February – March 2025
Over $7.5B paid out; avg. ~$6,710 per beneficiary
Increased monthly payments begin
April 2025
New monthly benefits start (for March payouts)
On average, 2.1 million Social Security recipients would see a $360 rise in their payments if the WEP were eliminated, according to the Congressional Budget Office (PDF). By December 2033, this would rise to an average of $460 for 1.8 million beneficiaries.
Reducing the Social Security payments of spouses, widows, and widowers who earned separate government pensions, the Government Pension Offset was established in 1977 and revised in 1983.
According to the Congressional Budget Office (CBO), in December 2025, benefits payments for spouses would rise by about $700 and for surviving spouses by about $1,190 due to the repeal of the GPO. Both amounts would reach their maximums of $860 and $1,520 by the end of 2033.
While the WEP and GPO won’t touch more than 4% of PDF recipients, the effect on those families might be substantial. Benefits due after December 2023 will be subject to the legislation, which means that eligible persons will get back payments.
The Congressional Budget Office predicts that those who receive benefits from both the Supplemental Nutrition Assistance Program and Social Security would see a decrease in their SNAP payments as a result of the budget cut.
What should qualifying individuals do in the meantime?
According to the Social Security Fairness Act, there are now very few requirements for individuals to be eligible for Social Security benefits.
The Social Security Administration’s only recommendation is that you update your account details to reflect your current postal address and direct deposit information. You have three options for doing this: going to a local office, phoning 1-800-772-1213, or accessing it online using your my Social Security account.
FAQ
Q: Who is eligible for retroactive benefits? A: Approximately 1.13 million qualified individuals, including teachers, firefighters, postal workers, police officers, and others affected by noncovered pension rules, are eligible.
Q: How much has been paid out in retroactive benefits so far? A: The Social Security Administration has disbursed over $7.5 billion in retroactive payments.
Q: What is the average retroactive payout? A: On average, beneficiaries have received about $6,710.
