There was a bipartisan law passed late last year that repealed the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO). That jargon describes two laws that reduced or eliminated Social Security benefits for retirees in certain jobs that paid into a separate pension system and did not pay into Social Security – think police officers, firefighters, other government jobs, some clergy, etc. The repeal paves the way for some retirees to receive substantially more benefits.
I know people read less over the holiday season because we are all busy doing other things (as we should be). Now that we’re all solidly back into our routines, I want to make sure you didn’t miss this important update.
The biggest change is for public sector employees whose benefits were previously eliminated by the Government Pension Offset. They are now entitled to spousal benefits and survivor benefits just like anybody else. That can mean hundreds of thousands of dollars over a typical retirement for someone in their 60s.
If you have any questions about whether this affects you, reach out to me. I’m happy to help you dive through the details.
About the Author: John O’Connor
John has more than ten years experience as an Investment Advisor. He focuses on devising and maintaining portfolios that meet individuals’ needs, investment research, and investment strategy. John has been recognized as a “FIVE STAR wealth manager” by Twin Cities Business Magazine 2016-2024. He is a CFA charterholder and CERTIFIED FINANCIAL PLANNER™ Professional.
Legal Disclaimer: These posts do not constitute an offer or recommendation to buy or sell any securities or instruments or to participate in any particular investment or trading strategy. They are for informational purposes only. CTW gathers its data from sources it considers reliable. However, CTW makes no express or implied warranties regarding the accuracy of this information or any opinions expressed by the author and may update or change them without prior notification.