Processing these changes is very complex and SSA's analysis shows that much of the work must be done manually, on an individual case-by-case basis. Image: Michael Vi/Shutterstock.com
By: FEDweek StaffThe SSA has said it “cannot yet provide an estimated timeframe for when we will adjust a person’s past or future benefits” under the law signed early this month to repeal the government pension offset and windfall elimination provision, but that it could take more than a year.
“SSA is currently processing pending or new claims involving future benefits and developing procedures and automated solutions for computing retroactive benefits” dating to the start of calendar year 2024, the effective date of the repeal law, says a new question and answer posting on a page it has set up on the law.
“SSA’s ability to implement the law in a timely manner and without negatively affecting day-to-day customer service relies on funding. The Act did not provide money to implement the law. The law requires SSA to adjust benefits for over 3 million people. Since the law’s effective date is retroactive, SSA must adjust people’s past benefits as well as future benefits. Though SSA is helping some affected beneficiaries now, under SSA’s current budget, SSA expects that it could take more than one year to adjust benefits and pay all retroactive benefits,” it says.
“Processing these changes is very complex and SSA’s analysis shows that much of the work must be done manually, on an individual case-by-case basis,” it adds.
For decades, GPO has reduced, and in many cases eliminated, spousal or survivor Social Security benefits of those who receive an annuity from a system that does not include Social Security, such as the federal CSRS system. The WEP has reduced the personally earned Social Security benefits of such persons based on other earnings for which they did pay into Social Security (unless those earnings exceeded an annual threshold for at least 30 years).
The Congressional Budget Office has estimated the average monthly reductions of the GPO and WEP as $700 and $360 a month. However, the SSA posting notes that “The amount monthly benefits may change can vary greatly. Depending on factors such as the type of Social Security benefit received and the amount of the person’s pension, some people’s benefits will increase very little while others may be eligible for over $1,000 more each month.”
Regarding retroactive payments, the SSA noted that the WEP and GPO now no longer apply to benefits payable for January 2024 and later, but that the benefits payable for January 2024 would generally have been received the following month.
It says that anyone who did not apply for Social Security spousal or survivor benefits because they would have been eliminated by the GPO “may need to file an application. The date of your application might affect when your benefits begin. Filing sooner might help you get a higher benefit amount.”
Those who have applied and whose benefits are being reduced or eliminated by the GPO should “consider reviewing the mailing address and/or direct deposit information that SSA has on file for you. This will allow SSA to adjust your benefits as quickly as possible. Generally, no other actions are needed at this time.”
It adds: “Unfortunately, bad actors might attempt to take advantage of situations when money is involved. SSA will never ask or require a person to pay either for assistance or to have their benefits started, increased, or paid retroactively. Hang up and do not click or respond to anyone offering to increase or expedite benefits.”
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