Social Security Fairness Act: Who qualifies? How much will I get in increased SS payments? Here’s everything to know

Just weeks before the end of his presidency, President Joe Biden has signed a new act into law that is set to increase monthly Social Security payments for close to three million Americans.

The bill, called the Social Security Fairness Act, repeals two provisions that, for more than 40 years, have lessened Social Security payments to a wide group of public sector employees. Here’s what to know about how the new act will affect retired Americans:

What is the Social Security Fairness Act?

The Social Security Fairness Act eliminates two longstanding provisions: The Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO).

The WEP, established in 1983, is a formula used to reduce Social Security benefits for those who also receive disability benefits or a pension—specifically, recipients of “non-covered pensions,” which are defined as “a pension paid by an employer that does not withhold Social Security taxes from your salary.”

Most often, these employers are state and local governments.

The GPO, established in 1977, reduces Social Security benefits for spouses or widowers of non-covered pension recipients.

Who will benefit from the new act?

Those most affected by the former provisions are middle-class Americans, including government retirees and public sector employees like firefighters, public school teachers, post office workers, and police officers.

All told, the WEP and GPO impacted about two million and 750,000 Americans in 2023, respectively.

How much money can I expect?

In public remarks on Sunday, Biden said more than 2.5 million Americans formerly under the scope of the WEP or GPO will receive an average boost of $360 per month in Social Security benefits.

Additionally, they can expect a lump-sum back payment in the thousands of dollars to account for the shortfall in benefits in 2024.

Where can I find more details?

The Social Security Administration is expected to publish more details on the act’s implementation, including timing of payouts, on its website sometime soon.