President Biden is expected to sign a bill on Monday extending full Social Security benefits to about 3 million American retirees, according to the bill’s supporters.
The Social Security Fairness Act, decades in the making, repeals two federal policies that prevent former police officers, firefighters, postal workers, teachers and other public pensioners from receiving their full Social Security benefits. I will do it.
“The Senate is finally righting 50 years of wrongs,” Senate Majority Leader Chuck Schumer, a Democrat from New York, said after senators approved the bill on Dec. 21 during the recess of the 118th Congress. he declared.
Groups representing firefighters and police officers said their members have been informed that Biden is prepared to sign the bill. The president was scheduled to sign the bill at 10 a.m. ET on Monday, but that schedule is subject to change, according to the International Federation of Firefighters, IAFF, and the National Association of Police Organizations (NAPO).
IAFF General Chairman Edward Kelly was invited to sign the agreement. An IAFF spokesperson told CBS MoneyWatch: “The IAFF has been working on this issue for years, and Mr. Kelly has been on Capitol Hill lobbying for the repeal of WEP/GPO. ” he said.
NAPO leadership was informed of the upcoming event by the White House, NAPO told its members in a social media post.
Shannon Benton, executive director of the Alliance for Older Americans, which advocates for retirees and has long pushed for benefits, said the bill’s passage would help “millions of people who have been denied the full benefits they rightfully earned.” “This is a monumental victory for these public servants.” Expansion of social security benefits. “This legislation will finally restore equity to the system and ensure that the hard work of teachers, first responders, and countless public servants is truly recognized.”
Benton said he was told by Congressional staff that Biden would sign the bill into law on Monday.
The White House did not respond to requests for comment.
What is the Social Security Fairness Act?
The Social Security Fairness Act would eliminate two federal policies that reduce Social Security payments to approximately 3 million retirees: the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO).
This includes people who also collect pensions from state or federal jobs that are not covered by Social Security, such as teachers, police officers, and U.S. postal workers. The bill would also repeal the second provision that reduces Social Security benefits for surviving spouses and family members of these workers. WEP affects approximately 2 million Social Security beneficiaries and approximately 800,000 retirees in GPO.
The Senate held its first hearing on the policy in 2003.
The bill had bipartisan support but ran into last-minute opposition from some Republicans citing cost. The bill is expected to increase the federal budget deficit by $195 billion over 10 years, according to the Congressional Budget Office.
The bill’s Senate sponsors, including Louisiana Republican Bill Cassidy, argue that while Social Security’s funding shortfalls need to be addressed, it should be done at the expense of retirees receiving state pensions. argued that it was not.
When will the Social Security Fairness Act go into effect?
According to the bill’s text, once the bill is signed, Social Security payments would be retroactive starting in January 2024. This means eligible recipients who previously received only partial benefits will now receive the full amount going back one year.
Still, calculating what beneficiaries own may not be easy or quick.
“The Social Security Fairness Act eliminates cuts in Social Security benefits while still having the right to receive state pensions from jobs that are not covered by Social Security,” the Social Security Administration said in an update Thursday. “The Social Security Administration is considering how to enforce this law if signed into law. We will provide further information as it becomes available.”
Americans who previously applied for partially or fully offset Social Security benefits do not need to do anything other than make sure the Social Security Administration has their current address and direct deposit information.
“Most people can do this online using their personal Social Security account without calling or visiting Social Security. Go to www.ssa.gov/myaccount and sign up. or create an account,” officials advised.
It added that workers who receive a state pension and are interested in applying for Social Security benefits can apply or make an appointment online at ssa.gov.
