Millions of American retirees rely on Social Security benefits as a financial backbone. Recently there were updates to the Social Security Fairness Act and many retirees are set to receive increased benefits starting in May 2025.
Making sense of the Social Security Fairness Act
The Social Security Fairness Act, which was signed into law in January 2025, was introduced to address past inequalities. This Act eliminates two specific provisions, the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO). These two provisions previously reduced benefits for retirees who had received pensions from employers that did not withhold Social Security taxes. These provisions also created a ripple effect on the families of the retirees as it created financial strain within the household.
By eliminating these two provisions, this Act ensures that retirees receive the full benefits that they are entitled to. This change marks a milestone for citizens who work in government roles and were unfairly impacted by the WEP and GPO. In addition, this Act also implements retroactive payments for those were underpaid in the previous months, this will provide a much-needed financial relief to many.
What changes in May?
As of May 2025, those retirees who are eligible as per the Social Security Fairness Act, will notice an increase in their monthly benefits. This is a retroactive increase, which simply means beneficiaries who were underpaid in April, will receive the money that they were owed along with their May payment.
This increase is part of the bigger picture to ensure fairness and equity within the Social Security System. Many retirees will see a significant improvement in their financial situation, and this will allow them to effectively manage their expenses. These retroactive payments will be helpful for those who may have struggled to cover their essential expenses in April as a result of reduced benefits.
Who qualifies for the increase?
The following groups are likely to benefit:
- Many retirees who were affected by the WEP and GPO will receive the full number of benefits to which they are entitled. This specific change is aimed to address the longstanding inequities which were caused by these provisions.
- Those were underpaid in April will retroactively receive their monies in May. This ensures that retirees are fully compensated for any underpaid benefits.
- Those retirees who recently qualified for benefits under the Social Security Fairness Act, will also start seeing an increase in payments as of May.
Should you feel that you qualify for Social Security benefits increase, but have not seen any changes, it is important that you contact the SSA for clarity.
How to check your benefits?
- Make sure you review your payment history by checking your bank statements or the online account to confirm the amount that you received in April. This will assist you in identifying any discrepancies in your payments.
- Log on to your SSA online portal as it provides detailed information about your benefits as well as any changes to payments.
- Should you have any questions or concerns, contact the SSA directly for assistance.
Looking ahead
It can be noted that the changes to Social Security benefits represent an important step towards fairness and equity for retirees. Even though the increase in payments is a positive, it is important for retirees to stay informed and updated regarding all the changes that are being made within the SSA.
As the Social Security Fairness Act continues to develop, retirees can be rest assured that there will be improvements to their benefits. Beneficiaries must stay informed and proactive so that they can receive the financial support that they are entitled to.
