U.S. Senate Chamber. Credit: Architect of the Capitol.Over the weekend, Congress passed a measure that has been decades in the making. The Social Security Fairness Act boosts Social Security retirement payments to nearly 3 million public sector retirees who draw public pensions - such as former police and firefighters - which critics warned will further weaken the program's finances. The bill, which would cost more than $195 billion over 10 years, now heads to President Joe Biden’s desk for approval.
The Social Security Fairness Act will repeal two decades-old provisions that limited benefits for people who also receive a pension. Currently, public service employees are unable to receive their full Social Security benefits if they also receive other forms of retirement benefits, such as a pension.
Recommended For You
The bill, which passed the House last month, will eliminate the Windfall Elimination Provision, enacted in 1983, which reduces the Social Security benefits of workers who receive government pensions not covered by Social Security. It will also repeal the Government Pension Offset, enacted in 1977, which reduces benefits for spouses, widows and widowers whose spouses receive public sector pensions.
“The passage of this important legislation not only provides relief to thousands of my constituents [in Ohio] who are frustrated they can’t receive their full Social Security benefits – it demonstrates what Congress is capable of when we work together in bipartisan fashion,” said Rep. Emilia Sykes. “There’s no good reason why teachers, firefighters, and other public service employees who have earned their retirement benefits should not receive them.”
“The Social Security Fairness Act is widely supported across both parties, as it would eliminate the Windfall Elimination Provision and the Government Pension Offset,” said Romi Savova, founder and CEO of fintech retirement firm PensionBee. “These provisions effectively reduced the level of Social Security certain workers, including those who receive other generous pension payments, are entitled to.
Related: SECURE 3.0? What’s on the horizon for retirement policy as President Trump takes office, again
“Proponents of the bill argue that these reductions are unfair, as the affected individuals contributed to Social Security funding during their working years. Opponents of the bill argue that affected individuals are already receiving abundant retirement funds. Ultimately those who were previously affected by the Windfall Elimination Provision or the Government Pension Offset, will receive higher retirement benefits through Social Security.”
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more information visit Asset & Logo Licensing.
Lynn Cavanaugh
Lynn Varacalli Cavanaugh is Senior Editor, Retirement at BenefitsPRO. Prior, she was editor-in-chief of the What's New in Benefits & Compensation newsletter. She has worked for major firms in the employee benefits space, Vanguard and Willis Towers Watson, as well as top media companies, including Condé Nast and American Media.
