Does Biden's Social Security increase for government workers include state PERS pensions (Oregon)?
Can anyone clarify something confusing about Social Security and government pensions? I've been hearing that President Biden recently increased Social Security payments for some government employees, but I can't figure out if this applies to STATE government workers. I worked for Oregon state government for 27 years and receive a PERS pension. Currently, my Social Security benefit is reduced because of the Windfall Elimination Provision (WEP). Would I qualify for any increase? Has anyone else with a state pension heard anything about this? Looking for real information, not rumors. Thanks!
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StarStrider
There's been some confusion about this. President Biden didn't actually increase Social Security payments specifically for government employees. What you're probably hearing about is the Social Security Fairness Act that's been proposed in Congress (not yet passed) that would repeal the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) that currently reduce benefits for many government workers, including state employees. If this legislation eventually passes, then yes, as an Oregon PERS recipient, you would likely see an increase in your Social Security benefits since the WEP reduction would no longer apply. But as of right now, no changes have been made to these provisions.
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Ethan Clark
•Thank you for clearing that up! So it's just proposed legislation, not something that's actually happened yet. That makes more sense. Do you know if this legislation has any real chance of passing? I've been dealing with the WEP reduction for years and it's frustrating to lose so much of my Social Security after paying into it for decades before my state employment.
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Yuki Sato
I dont think Biden did anything yet!! my brother in law works for New York state govermint and he said they've been talking about fixing the WEP for YEARS but nothing ever happens!!! its all just talk to get votes from retirees. I wouldn't hold my breath if I was you.
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Ethan Clark
•That's disappointing to hear. I was hoping there might actually be some relief coming for those of us with reduced benefits. The WEP takes a huge chunk out of my Social Security even though I paid in fully for over 15 years in the private sector.
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Carmen Ruiz
My wife and I both worked for California state government and have the same issue with WEP. It's so frustrating! I worked 22 years private sector paying full SS taxes, then 15 years state govt, and now my SS is reduced by almost $600/month! This system is COMPLETELY UNFAIR to public servants!!!!
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Andre Lefebvre
•I understand your frustration. The WEP and GPO provisions were originally created to prevent what was called "double-dipping" but they've had some unintended consequences. The formula reduces benefits for those who split careers between covered and non-covered employment. For perspective though, without WEP, people with non-covered pensions would actually receive proportionately MORE from Social Security than those who paid into SS their entire careers, due to how the benefit formula works. The system needs reform, but it's complicated.
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Zoe Alexopoulos
I work for a Social Security advocacy group, and I can confirm that the Social Security Fairness Act has been introduced in Congress several times but hasn't passed yet. In the current session, it's H.R.82 in the House and S.407 in the Senate. The bill would eliminate both the WEP and GPO provisions, which would benefit former state and local government employees whose pensions come from work not covered by Social Security. There is bipartisan support, but concerns about the cost (estimated at $150+ billion over 10 years) have prevented passage. If you're affected by WEP/GPO, contact your representatives and share your story. Personal stories from constituents can help move legislation forward.
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Jamal Anderson
•Thank you for this information! I just called my congressman's office last week about this very issue and couldn't get through to anyone who knew anything. They just took my name and number but never called back. So frustrating trying to reach anyone at these government offices these days!
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Mei Wong
If you're having trouble reaching government offices, I had the same problem until I found Claimyr. It's a service that helps you get through to Social Security agents without waiting on hold for hours. I used it to discuss my WEP calculation with a real person at SSA and finally got some answers. You can see how it works at https://youtu.be/Z-BRbJw3puU or visit claimyr.com. Saved me so much frustration!
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Ethan Clark
•Thanks for the tip! I've spent countless hours on hold with SSA trying to get clarification about how exactly they calculated my WEP reduction. I'll check this out.
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Carmen Ruiz
My cousin works for Oregon PERS administration and she says there's ZERO changes happening right now. Don't believe what you hear on the news! They always talk about fixing WEP/GPO during election years and then nothing happens.
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StarStrider
•While it's true that WEP/GPO reform has been proposed many times without passing, there are some legitimate efforts underway. Representative Kevin Brady previously introduced a more moderate reform called the Equal Treatment of Public Servants Act that would replace WEP with a more proportional formula rather than eliminating it entirely. Some version of reform might eventually pass, even if the complete repeal doesn't.
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Andre Lefebvre
For those interested in the technical details, the WEP currently reduces your Social Security benefit if you receive a pension from work not covered by Social Security. The reduction can be up to $534 per month in 2023 (the first bend point in the PIA formula multiplied by 40%). However, there are exceptions: 1. If you have 30+ years of substantial earnings under Social Security, the WEP doesn't apply 2. If you have 21-29 years, the reduction is less 3. The reduction can never be more than 50% of your non-covered pension The GPO is a separate provision affecting spousal and survivor benefits for government pensioners. It reduces these benefits by 2/3 of your government pension amount. Neither of these provisions has been changed by executive action. Any changes would require legislation passed by Congress.
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Ethan Clark
•Thank you for explaining this so clearly! I only have 15 years of what SSA calls "substantial earnings" so I get hit pretty hard by the WEP. I didn't realize there was a maximum reduction based on 50% of the pension - I'll have to check if that applies in my case.
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Yuki Sato
I herd that Oregon PERS is different from some other states because Oregon never opted out of Social Security completley. Is that right? Some of my Oregon freinds pay into both systems I think??
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Zoe Alexopoulos
•That's partially correct. Oregon has multiple tiers in their PERS system, and some Oregon public employees are covered by Social Security while others aren't. It depends on when they were hired and what government entity they work for. Some local governments in Oregon have opted to participate in Social Security, while others haven't. If someone paid into both systems throughout their career, the WEP impact would be different than for someone who switched between covered and non-covered employment.
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Jamal Anderson
I thought Biden already signed something about this! Now I'm confused. My brother who retired from teaching in Illinois got a letter about his SS benefits going up but maybe that was just the regular COLA?
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Andre Lefebvre
•Your brother likely received notification about the 2023 Cost of Living Adjustment (COLA), which was 8.7% - one of the largest in decades due to inflation. This increase applies to all Social Security recipients. It wasn't specific to government employees and wasn't related to any changes in the WEP or GPO provisions. The 2024 COLA will be 3.2%, and those notices usually go out in December.
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