The WEP reduces a Social Security benefit the person earned through other employment. Image: Alexey Rotanov/Shutterstock.com
A Social Security reform bill (HR-4583) newly introduced with nearly all House Democrats as cosponsors would eliminate the windfall elimination provision and government pension offset provisions affecting benefits under that program for federal retirements under the CSRS system.
Those changes would be among a wide range of changes to the program, potentially offering better chances of enactment than in a previously introduced freestanding bill. That bill (HR-82) has not advanced despite having the support of the majority of the House, including several dozen Republicans.
The WEP reduces a Social Security benefit the person earned through other employment—typically before or after a federal career but in some cases during a career through work on the side—if the person had less than 30 years of earnings above a designated level that this year is $29,700. The maximum reduction works out to above $500 a month and is not as severe for those with between 20 and 30 years of such earnings.
The GPO reduces Social Security spousal or survivor benefits by $2 for each $3 the beneficiary receives in an annuity from a retirement system that does not include Social Security. In many cases, the effect of the GPO is to eliminate a spousal or survivor Social Security benefit through a spouse’s Social Security-covered employment.
Repealing or at least softening those provisions has long been a priority for the National Active and Retired Federal Employees Association and federal unions.
Among other provisions of the “Social Security 2100 Act” offered by the ranking Democrat on the House Social Security subcommittee, Rep. John Larson of Connecticut, would be another priority of those organizations: basing Social Security COLAs on an inflation index based specifically on retiree spending patterns. In general, that would increase the amount of those adjustments.
Other provisions include various benefit enhancements and additional funds for the SSA for customer service operations.
Those would be paid for by applying Social Security taxes on earnings above $400,000—they currently cut off at $167,200—with those earnings credited toward an increased benefit but at a reduced rate. It also would impose Social Security taxes on net investment earnings for taxpayers at that level.
The Senate counterpart is S-2280.
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See also,
Legal: How to Challenge a Federal Reduction in Force (RIF) in 2025
The Best Ages for Federal Employees to Retire
Alternative Federal Retirement Options; With Chart
Primer: Early out, buyout, reduction in force (RIF)
Retention Standing, ‘Bump and Retreat’ and More: Report Outlines RIF Process