The Social Security Administration has so far paid out nearly $15 million in back payments to people who live in McLean County ZIP codes, and more will be coming. The payments to 2,131 people cover amounts owed through passage of the Social Security Fairness Act.
That law eliminates both the Windfall Elimination Provision [WEP] and Government Pension Offset [GPO] for retirees who have had their Social Security payments significantly reduced or even eliminated because they earn a state pension. For decades, some states had federal agreements under which they did not make Social Security contributions for public sector workers because they offered state pensions.
As part of that, those workers had reduced federal benefits even if they had enough time in private sector employment to earn Social Security. In some cases, this reduced survivor benefits from a deceased spouse as well. The bipartisan law does away with WEP and GPO and authorizes retroactive payments to the start of 2024.
The Social Security Administration has said more than 3 million people are affected. The agency has processed 75% of those changes since the start of the year. In Illinois, close to 120,000 people have received about $848 million so far.
Bloomington-Normal ZIP codes alone have 1,220 retirees so far reimbursed for the change. They will see increased monthly benefits going forward, though those can vary depending on their contributions to Social Security in their working life. Some people will receive only small increases. For others, the SSA said it can be more than $1,000 per month.
The agency is working through the backlog of people who had already applied for Social Security, but said if some people did not apply because they believed the WEP or GPO would eliminate their benefit, they may need to apply.
People who did not previously apply for retirement benefits because of WEP or spouse’s benefits because of GPO can do so by calling the agency at 1-800-772-1213 Monday through Friday, from 9 a.m. to 6 p.m. ET. When the system asks, “How can I help you today?" say “Fairness Act.” Then, you'll be asked a few questions.
The answers will help the agency connect people to someone who can take the application. Surviving Spouse’s Benefit applications are not available online and those applicants must use the phone number. For additional eligibility information, visit www.ssa.gov/apply.
