Social Security Fairness Act Repeals Unfair Rule Affecting Public Employees

On January 5, 2025, President Biden signed into law the bipartisan supported Social Security Fairness Act, also known as H.R. 82, amending Title II of the Social Security Act by repealing the Government Pension Offset (GPO) and the Windfall Elimination Provision (WEP). The Social Security Fairness Act will financially benefit a considerable number of public employees whose employers withhold Social Security taxes from salaries.

This in no way impacts or changes the amount of your SBCERA retirement benefit.

Background

The Windfall Elimination Provision, which was passed in 1983, reduced Social Security payments to people who receive a public pension from a job that did not collect Social Security from their pay.  The Government Pension Offset, adopted in 1977, reduced Social Security benefits for people receiving a spousal or survivor benefit who also receive a government pension.

The repeal is retroactive to December 2023 and eliminates these two penalties for receiving a government pension or disability pension from an employer that did not withhold Social Security taxes. It also applies to spouses and widowers who receive a government pension of their own.

Who's Affected

 The repeal affects members who are entitled to Social Security benefits.

After years of unequal application of the Social Security laws, the Social Security Fairness Act will increase Social Security benefits for millions of current and former public employees who receive a pension from their public employment to the extent that they also contributed to Social Security. Please keep in mind as San Bernardino County Employees we did not pay into Social Security. This new law affects those who have paid into Social Security and have enough credits to benefit from Social Security.

Next Steps

The new SSA benefit calculation applies to any Social Security payments due after December 2023.

If you are entitled to a recalculation of your Social Security benefit, the SSA recommends you verify the SSA has your current mailing address and direct deposit information. 

More Information

For more information regarding this matter, please contact Social Security directly at (800) 772-1213 or www.SSA.gov.

Learn more: www.SSA.gov/Benefits/Retirement/Social-Security-Fairness-Act