Latest news with #retroactivePayments
CBS News
2 days ago
- Business
- CBS News
Social Security says over 2.5 million retroactive payments have been processed. Here's what to know.
The Social Security Administration (SSA) has processed over 2.5 million retroactive payments for teachers, firefighters, police officers and others with public pensions who were previously locked out of retirement benefits, the agency said last week. Signed into law by President Biden in January 2025, the Social Security Fairness Act requires the agency to adjust benefits for 3.2 million people, including future and past benefits. Social Security has completed 90% of its caseload, according to its May 27 update. Payments are going to public pension holders previously barred from collecting full benefits under the federal retirement program due to two federal policies: the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO). The Social Security Fairness Act ended these provisions, opening the door for millions to receive retroactive payments dating back to January 2024. December 2023 was the last month the WEP and GPO applied, according to the SSA. If you're eligible for these payments, read on for the latest from the SSA. When will I get my retroactive payment? The agency started issuing payments on Feb. 25. According to the SSA, beneficiaries should have received a one-time retroactive payment deposited into the bank account the agency has on file for them by the end of March 2025. In terms of the new monthly benefits, most eligible parties should have seen payment increases starting in April. There's a one-month lag for Social Security payments, so the April payments reflected March's benefit. What if I haven't gotten my payment yet? The SSA previously said that most Americans would have to wait up to a year or longer to receive their benefits. While the agency has been able to expedite payments using automation, more complicated cases need to be processed manually and will take longer as a result, according to its website. There are about 200,000 cases that could not be processed by automation, according to the agency's spokesperson. The SSA said it expects all beneficiary records to be updated by November 2025. Those eligible who have still not received their payment can check or call 1-800-772-1213 to make sure the SSA has the right address and direct deposit information for them on file. "Ensuring that SSA has the correct information allows you to get any retroactive benefits and your new benefit amount quicker," the agency says in its update. Social Security employees told USA Today that they have been directed to prioritize Social Security Fairness Act cases over their other work, which they warned could lead to payment delays, a claim refuted by the agency. "SSA is not setting aside or deferring work as it prioritizes the SSFA cases," the agency's spokesperson told CBS MoneyWatch in an email. "There have been no disruptions to service. SSA is committed to pay the right person the right amount at the right time." How much will benefits increase? The amount of the added payments hinges on a few factors, such as the type of Social Security benefit and pension a person receives. Some people will see "very little" adjustments, while others could see over $1,000 each month, according to the SSA website. How will I know if my monthly benefit was adjusted? Any beneficiaries who receive a retroactive payment, or a monthly benefit adjustment, will receive a mailed notice from Social Security explaining the change. To learn more about your eligibility and how the Social Security payments work, visit the Social Security Fairness Act website. What if I never applied for retirement? If you never applied for retirement — or a spouse's benefits — due to the federal laws in place before the Social Security Fairness Act was passed, you may need to file an application. To do so, visit As of the week ending May 23, the agency has received over 200,000 new applications for benefits since the law passed, and has processed 87% of them, according to the SSA website.
Yahoo
25-05-2025
- Business
- Yahoo
Social Security Fairness Act Update: When Will You Receive Your Retroactive Payment?
In January, President Joe Biden signed a law repealing the Windfall Elimination Provision and the Government Pension Offset, which limited or eliminated Social Security benefits for civil servants, railroad workers and federal employees whose jobs weren't covered by Social Security. The new law, called the Social Security Fairness Act, made eligible individuals' Social Security benefits retroactive from January 2024. Social Security Benefits Might Be Harder To Qualify for in the Future: Find Out: If you and/or an eligible family member missed out on benefit payments for January 2024 or later because of the old rules, you'll receive a single retroactive payment to make up the lost benefits. The first retroactive payments went out in February as direct deposits. The SSA expected to have most of the retroactive payments out by April, and as of May 9, 85% of payments had been processed. However, in complex cases that can't be handled automatically, payments could take until November to process and send out. The SSA doesn't have a process in place for checking on your payment, but it does offer information about what you can expect as you wait. Some individuals will receive or have received a notice that their WEP or GPO restrictions are being lifted. Everyone who is eligible for the benefit increase and/or retroactive payment should receive a letter from the SSA alerting you to the changes. This notice might not arrive until after you've received your payment, so it's a good idea to keep an eye on the bank account where you receive direct deposits. Learn More: You can help avoid unnecessary delays by creating or logging in to your my Social Security account, which you can access here to make sure the SSA has your correct mailing address and direct deposit information. For many, the payment will be worth the wait. The average amount was $6,710 as of March 4, and that's on top of an average monthly benefit increase of $360, according to the office of Rep. Shontel Brown (D-OH). More From GOBankingRates 3 Reasons Retired Boomers Shouldn't Give Their Kids a Living Inheritance (And 2 Reasons They Should) Mark Cuban Tells Americans To Stock Up on Consumables as Trump's Tariffs Hit -- Here's What To Buy Sources Social Security Administration (SSA), 'Social Security Pays Billions of Dollars in Retroactive Payments' SSA, Social Security Fairness Act: Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) update Representative Shontel Brown | – 'Social Security Fairness Act Signed Into Law: What You Need to Know' This article originally appeared on Social Security Fairness Act Update: When Will You Receive Your Retroactive Payment? Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
25-05-2025
- Business
- Yahoo
Social Security Fairness Act Update: When Will You Receive Your Retroactive Payment?
In January, President Joe Biden signed a law repealing the Windfall Elimination Provision and the Government Pension Offset, which limited or eliminated Social Security benefits for civil servants, railroad workers and federal employees whose jobs weren't covered by Social Security. The new law, called the Social Security Fairness Act, made eligible individuals' Social Security benefits retroactive from January 2024. Social Security Benefits Might Be Harder To Qualify for in the Future: Find Out: If you and/or an eligible family member missed out on benefit payments for January 2024 or later because of the old rules, you'll receive a single retroactive payment to make up the lost benefits. The first retroactive payments went out in February as direct deposits. The SSA expected to have most of the retroactive payments out by April, and as of May 9, 85% of payments had been processed. However, in complex cases that can't be handled automatically, payments could take until November to process and send out. The SSA doesn't have a process in place for checking on your payment, but it does offer information about what you can expect as you wait. Some individuals will receive or have received a notice that their WEP or GPO restrictions are being lifted. Everyone who is eligible for the benefit increase and/or retroactive payment should receive a letter from the SSA alerting you to the changes. This notice might not arrive until after you've received your payment, so it's a good idea to keep an eye on the bank account where you receive direct deposits. Learn More: You can help avoid unnecessary delays by creating or logging in to your my Social Security account, which you can access here to make sure the SSA has your correct mailing address and direct deposit information. For many, the payment will be worth the wait. The average amount was $6,710 as of March 4, and that's on top of an average monthly benefit increase of $360, according to the office of Rep. Shontel Brown (D-OH). More From GOBankingRates The 10 Most Reliable SUVs of 2025 The New Retirement Problem Boomers Are Facing Sources Social Security Administration (SSA), 'Social Security Pays Billions of Dollars in Retroactive Payments' SSA, Social Security Fairness Act: Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) update Representative Shontel Brown | – 'Social Security Fairness Act Signed Into Law: What You Need to Know' This article originally appeared on Social Security Fairness Act Update: When Will You Receive Your Retroactive Payment? Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
