Can I cancel suspended Social Security spousal benefits due to GPO and reapply at a higher rate now?
I'm in a bit of a weird situation with my spousal Social Security benefits and GPO (Government Pension Offset). I originally filed for spousal benefits about 18 months ago, fully aware that my teacher's pension would trigger GPO and reduce/eliminate what I'd receive. I just got a letter from Social Security showing what my benefit amount would be ($865/month), but it says 'Suspended' on the notice. My understanding is that the benefits are just backlogged in processing because of GPO calculations, and eventually I'll receive the suspended amount retroactively once SSA finishes processing everything. Here's my question: Since I haven't actually received ANY payments yet, would I be allowed to withdraw my original application and reapply now at age 66? I'd get a slightly higher monthly amount since I'm 18 months older than when I first applied. But I'm concerned this might mean losing all the retroactive benefits from the original application date. I still haven't reached my full retirement age (FRA), so I know there would be some reduction either way. Any insights on whether this is even possible? And if so, would it be financially smart or should I just leave everything as is?
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Carmen Flores
Yes, you can withdraw your application if you haven't received any payments yet. This is called a "Request for Withdrawal of Application" and you'd use Form SSA-521. BUT - and this is a big but - if you withdraw and reapply, you're correct that you would forfeit all retroactive benefits from your original filing date. The question is whether the slightly higher benefit amount (due to being 18 months older now) would eventually make up for losing 18 months of back payments. In most cases, it would take many years to break even on that trade-off, making it usually not worth it.
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Andre Dubois
•I actually disagree slightly. If the GPO is going to wipe out most or all of the benefit anyway, there might not be any retroactive payment to lose. It really depends on how much of that $865 would remain after the GPO reduction. If it's reduced to zero or near-zero, then withdrawing and refiling might make sense.
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CyberSamurai
My husband went through something similar! We got all confused with the GPO stuff too but the notice said suspended for like 4 months. when we finally got through to someone they said its normal with government pensions, just takes time for them to verify everything. hang in there!
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Yuki Sato
•Thanks for sharing your experience. Did your husband ever consider withdrawing his application during that suspended period? I'm really torn about what to do here.
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Zoe Alexopoulos
The key question is how much of your spousal benefit will actually remain after GPO. The GPO reduction is 2/3 of your government pension amount. So if 2/3 of your teacher's pension exceeds your $865 spousal benefit, you'll get $0 regardless of when you apply. For example, if your teacher's pension is $1,500/month, GPO would reduce your spousal benefit by $1,000 (2/3 of $1,500), leaving you with nothing from the spousal benefit. Before making any decisions, you should calculate exactly what you'd receive after GPO, both under your current application and if you reapplied. Only then can you determine if withdrawing makes financial sense.
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Yuki Sato
•That's super helpful. My teacher's pension is actually $2,400/month, so 2/3 of that would be $1,600 - which is definitely more than the $865 spousal benefit. So it sounds like I'd get $0 either way? If that's the case, does it even matter whether I withdraw or not?
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Jamal Carter
wait im confused why would u even apply if u knew GPO would wipe it out? is there some strategy im missing here??
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Yuki Sato
•That's a fair question! I was advised to apply anyway because if my ex-spouse dies, I could become eligible for survivor benefits, which are treated differently under GPO. Having an application already on file supposedly makes that transition smoother. At least that's what I was told.
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Mei Liu
The SSA is SO FRUSTRATING with these GPO cases!!! I went through this exact nightmare last year. They left my application "suspended" for SEVEN MONTHS before properly applying the GPO calculation. Their backlog is absolutely ridiculous and they don't care at all how long people wait. In my case, I got so fed up with waiting that I kept calling the 800 number EVERY SINGLE DAY trying to get answers, but they just kept saying "it's processing" and couldn't tell me anything more. Complete waste of time!!!
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Liam O'Donnell
•Have you tried using Claimyr to get through to an actual SSA agent? It helped me bypass the hold times when dealing with my GPO situation. I was stuck in suspended status for months until I used their service at claimyr.com - got connected to a real person in minutes who could actually see what was happening with my case. They have a video demo at https://youtu.be/Z-BRbJw3puU that shows how it works. Seriously saved me from the endless callback cycle.
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Carmen Flores
Based on your pension amount of $2,400, you're correct that GPO would completely offset your spousal benefits. In this specific situation, withdrawing your application would make no practical difference for your current benefits. However, there's one important consideration: if your ex-spouse passes away, you could become eligible for survivor benefits, which work differently under GPO. Survivor benefits might still be partially payable even with your pension offset. In that scenario, having your application date established earlier might be advantageous. My recommendation would be to leave your application as is since you won't receive spousal benefits either way, but the established application date could be useful in the future.
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Yuki Sato
•Thank you so much for explaining this clearly! I think I'll leave my application as is then. Since I won't get anything either way due to GPO, there's no point in withdrawing. And good point about potentially needing the earlier application date established if survivor benefits come into play later. Really appreciate everyone's help in figuring this out!
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CyberSamurai
Just wondering - have u checked if your pension plan is one of the ones exempt from GPO? My friend worked for a school district in a state where they paid into Social Security AND their pension, and she didn't get hit with GPO. Might be worth double checking?
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Andre Dubois
•That's called a Section 218 Agreement, but it's pretty rare these days. If the OP already received a notice showing the benefit as "suspended" pending GPO calculation, then SSA has already determined GPO applies in their case. But always good to double-check!
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