The Social Security Fairness Act signed into law on January 5, has brought hope to thousands of Americans who depend on Social Security benefits. The new legislation repeals two important provisions that previously reduced benefits for many individuals, including police officers, firefighters, and teachers. According to the Congressional Budget Office, the termination of the Windfall Elimination Provision will result in an average monthly benefit increase of $360 for more than two million affected Americans.
Additionally, about 380,000 surviving spouses of deceased Social Security recipients might see a $700 increase in monthly benefits due to the elimination of the government pension offset. However, the Social Security Administration (SSA) has stated that it could take more than a year to process the benefit changes for the over 3.2 million individuals affected. This delay is attributed to a lack of funding and a hiring freeze that was put in place in November 2024.
Roger Boudreau, a 75-year-old former English teacher and president of the Rhode Island American Federation of Teachers retirees chapter, estimates he has been losing about $5,000 per year in retirement for the past decade due to a penalty of about 40% on his earned benefits. He said, “We understand that it’s going to take some time.”
Social Security benefits increase for many
Carl Jordan, a retired fire captain from Canton, Ohio, discovered that his Social Security benefits would be reduced when he considered retiring.
He estimates the reductions have cost him about $27,000, excluding interest. Jordan attended the January bill signing in Washington, D.C., and spoke with a Social Security administrator who could not provide more information on the timing or amount of benefit increases. Representative Clay Higgins, a Louisiana Republican, is urging the SSA to expedite the process, citing the immediate needs of millions affected by the repeal.
In a letter to acting SSA commissioner Michelle King, he described the current timeline as “an unacceptable way to treat our elders.”
The SSA is currently in the process of adjusting benefits but has yet to provide a firm date for full implementation. The law requires recalculating benefits for millions of individuals, a process that involves an extensive review of historical earnings records, pension information, and eligibility criteria. Despite these challenges, the SSA has committed to providing regular updates and guidance on the implementation process.
Beneficiaries are encouraged to monitor updates and ensure their information is current to prevent delays in receiving payments.
