A major change to Social Security benefits is now in effect, with millions of retirees and public service workers receiving larger payments, plus a lump-sum back payment. The increase follows the passage of the bipartisan Social Security Fairness Act, signed into law by former President Joe Biden in January.
What Changed?
The Social Security Fairness Act eliminates previous restrictions that reduced Social Security benefits for individuals receiving other forms of retirement payments, such as public pensions from state or local governments. The repeal of the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) means that approximately 3.2 million retired public service employees—including teachers, police officers, and firefighters—will now see a significant boost in their Social Security benefits.
Who Qualifies for the Increased Payments?
The Social Security Administration (SSA) states that the following groups will benefit from the new law:
- Teachers, police officers, and firefighters who previously had their Social Security benefits reduced due to WEP or GPO.
- Federal employees covered under the Civil Service Retirement System (CSRS).
- Individuals who receive benefits from another country’s social security system.
However, this change does not affect the majority of public workers. About 72% of state and local employees already pay Social Security taxes and are not impacted by WEP or GPO. Those individuals will not receive an increase in benefits under the new law.
Retroactive Payments and New Benefit Increases
The new law is effective retroactively to January 2024, meaning eligible recipients will receive a one-time lump-sum payment for the extra benefits they missed in the past year.
- Retroactive Payments: Began rolling out on February 24, 2025, and most recipients should receive them by the end of March.
- Increased Monthly Benefits: Will begin in April 2025 and continue moving forward.
How Much Will Benefits Increase?
The exact amount of the increase varies, but estimates suggest a substantial financial boost for many recipients:
- Some individuals may see only a small increase in their monthly payments.
- Others could receive up to $1,000 more per month.
- According to the Congressional Budget Office (CBO), the average increase in benefits is expected to be $360 per month by December 2025.
- Surviving spouses receiving widow or widower benefits could see an average increase of $1,190 per month.
How to Know If You Qualify
If you qualify for the increase, the SSA will mail a notice explaining your updated benefits. However, some recipients may see the extra money in their accounts before receiving the letter.
- If you do not see the increased amount in your April payment, wait until after your April deposit before contacting the SSA.
- To check your payment status, log into your my Social Security account at ssa.gov/myaccount .
FAQs :
1. When will I receive my retroactive payment?
The SSA started issuing one-time retroactive payments on February 24, 2025, and most recipients should receive them by the end of March. If your case requires additional review, your payment may arrive later.
2. When will my monthly benefits increase?
The increased Social Security benefits will begin with April 2025 payments.
3. Do I need to apply for the increased benefits?
No, the increase is automatic for eligible recipients. The SSA will adjust benefits without requiring additional action.
4. How can I check if I qualify for an increase?
The SSA will mail a notice to all affected recipients. You can also check your updated benefit amount by logging into my Social Security account at ssa.gov/myaccount.
5. How much will my benefits increase?
The increase varies by individual:
- The average increase is expected to be $360 per month.
- Some retirees may see only a small increase, while others could receive up to $1,000 more per month.
- Surviving spouses receiving benefits may see increases averaging $1,190 per month.
6. I haven’t received my increased payment or back pay. What should I do?
If you don’t see an increase in your April payment, wait until the SSA completes its processing. If you still don’t see an adjustment by May 2025, contact the SSA at 1-800-772-1213 or visit ssa.gov.
7. Will this affect my Medicare premiums?
Possibly. Medicare Part B premiums often increase along with Social Security COLA adjustments. The SSA will notify recipients of any changes to their net benefits.
8. What if I think my payment is incorrect?
If you believe your new benefit amount is wrong, you can:
- Log into your Social Security account to check the calculation.
- Call the SSA at 1-800-772-1213 for assistance.
- Visit your local Social Security office (use the office locator on SSA’s website) .
Bottom Line
The Social Security Fairness Act is bringing long-overdue relief to millions of retirees and public service workers. With the elimination of WEP and GPO, beneficiaries can expect larger monthly payments starting in April 2025, as well as one-time retroactive pay for 2024. Stay informed and check your my Social Security account to see how much your benefits will increase!
For more information, visit ssa.gov or call 1-800-772-1213.