How much will WEP reduce my Social Security benefits with state pension? Need maximizing strategies!

The Windfall Elimination Provision (WEP) can definitely be confusing! Here's what you need to know: 1. With 10 years of "substantial earnings" under Social Security, your reduction won't be the maximum. The WEP reduction in 2025 is capped at about $665 per month, but with 10 years of substantial earnings, you'd face less. Each additional year of substantial SS earnings (over $31,000 in 2025) reduces the WEP impact. 2. The "work in private sector again" strategy actually can work mathematically. If you can add 10 MORE years of substantial earnings under Social Security (getting to 20+ years total), the WEP reduction decreases by 5% per year and disappears entirely at 30 years. But as you noted, job security is a concern. 3. For your husband: The Government Pension Offset (GPO) would only affect him if HE receives a non-covered pension. Your pension doesn't trigger GPO for him. However, since he's a higher earner, he likely wouldn't qualify for spousal benefits on your record anyway. 4. Spousal benefits are up to 50% of the worker's Full Retirement Age benefit amount. If your husband's own benefit exceeds 50% of yours, he gets zero spousal benefits. Hope this helps with your decision!

i went thru similar situation. moved from private to state job at 43. the pension is WORTH IT trust me!!! my friend tried that going back to private then state again and couldn't get rehired when she wanted. ended up having to take lower position. risky strategy!!!

Your husband receiving death benefits from your pension has NOTHING to do with Social Security. GPO only applies when the person claiming SS benefits has their own non-covered pension. In your case, YOU would be subject to WEP because YOU have SS earnings AND will get a non-covered pension. As for the strategy of going back to the private sector - it CAN work mathematically because WEP reduction decreases by 5% for each year of substantial earnings over 20 years. But it's extremely risky from a career perspective. You can use the WEP calculator on SSA.gov to estimate your reduced benefit. With 10 years, your SS monthly benefit might be reduced by around $450-500 in today's dollars. Aside from adding years of substantial earnings, there's no way to "maximize" a WEP-affected benefit. It's just how the law works for people who didn't pay SS taxes on all their earnings.

OK I FINALLY figured this out after dealing with it myself. Your questions: 1) WEP formula is COMPLICATED!! But basically they recalculate your SS using a 40% factor instead of 90% for first bend point. With 10 years substantial earnings your benefit might be cut by $400-600/month depending on earnings. 2) YES THE STRATEGY CAN WORK!!! But its NOT practical for most people. Who wants to quit a secure govt job to hopefully reduce WEP?? Plus you need substantial earnings each year (over $31k in 2025) for it to count! 3) YOUR PENSION HAS ZERO IMPACT on your husband's SS benefits. GPO only applies if HE gets a non-covered govt pension. 4) He probably CAN'T get spousal benefits on your record anyway if he made more than you. His own benefit would be higher than 50% of yours. Some SSA agents don't even understand WEP/GPO correctly!!!! I had to talk to 3 different people before I got it straight. TAKE SCREENSHOTS of the SSA website rules when you go in!!!

Have you considered calling Social Security directly to discuss your specific situation? I had a similar WEP question last year and spent WEEKS trying to get through on their 800 number without success. I eventually used Claimyr (claimyr.com) which got me connected to an SSA agent in under 15 minutes. They have a video showing how it works: https://youtu.be/Z-BRbJw3puU The agent was able to run my specific numbers and gave me a personalized WEP calculation based on my earnings history. Much more accurate than trying to guess with online calculators. For complicated situations like WEP and GPO, talking to SSA directly is really the best way to get accurate information.

My wife went thru exact same situation!!! Turned out state pension was MUCH better than staying private. WEP reduced her SS by about $350/month but pension gave her like $3200/month so totally worth it. The rule about switching back and forth sounds crazy to me. Who would risk their career for maybe $100-200 more in monthly SS decades later???

ALSO nobody has mentioned that if you get EXACTLY 30 years of substantial earnings under SS (meaning $31k+ in 2025 dollars for each year), WEP goes away COMPLETELY!!! But that's probably not realistic for you since you're already mid-40s with only 10 years so far.

btw don't forget about social security earnings test if you claim before your FRA... that caught me by surprise when i retired!!! has nothing to do with WEP but another thing to remember

As someone who's been through this exact situation, here's what I'd advise: 1. Calculate your expected state pension after 10-15 years of service 2. Compare that to potential private sector salary + full SS benefits 3. Factor in healthcare benefits, which are often superior in state jobs In my case, even with WEP reducing my Social Security by about $520/month, my state pension more than made up for it. The healthcare benefits alone saved me thousands annually. The strategy of returning to private work can mathematically reduce WEP impact, but it's generally not worth the career disruption. Each year of substantial earnings beyond 20 years reduces WEP by 5%, but that might mean only $30-35 more per month in benefits for each additional year. Focus less on maximizing SS and more on total retirement income including pension, savings, and healthcare costs.