Q: I have earned all the Social Security credits in private employment that I need to be entitled to benefits, but as a civil service retiree I am unfairly penalized under the Windfall Elimination Provision (WEP). I receive only $95 per month in Social Security. The gross amount I would otherwise receive is $158. My Social Security benefits are cut by the WEP about 40%. What position does TSCL take on this issue?
A: TSCL supports the repeal of the Social Security Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO). These laws cut the Social Security benefits of thousands of public employees, including many teachers, fire fighters, and police who have worked in a public sector job, but who also earned Social Security benefits from another job in the private sector, or one their spouse held.
The GPO reduces public service employees' spousal or survivors (widow's) benefits by two-thirds of their public pension. According to the National Education Association website, nine out of ten public employees affected by the GPO lose their entire spousal benefit, even though their spouse paid Social Security taxes for many years. Some 360,000 persons lose an average of $3,600 a year due to the GPO.
The WEP reduces Social Security for retirees, like you, who paid into Social Security and also receive a government pension. In many cases, the provision can result in a penalty of more than $300 a month because the government calculates Social Security benefits for persons who also receive a government pension under a different benefit formula — one that's less generous than the one used to calculate benefits for private sector retirees.
There appears to be very strong support in Congress for repeal of these offset laws. At 310 co-sponsors, H.R. 147, introduced by Representative Howard P. McKeon(CA) in the House, has more than enough support for passage. In the Senate, S. 619 introduced by Senator Dianne Feinstein has 23 co-sponsors. A lot rests on the priorities that Congress sets this election year as Congressional leadership can at times keep legislation bottled up in committees. We should remind our elected lawmakers of what those priorities should be. Please tell your Members of Congress to support the repeal of the Government Pension Offset and Windfall Elimination Provision by enacting H.R. 147 (House) and S. 619 (Senate).
Sources: NEA on Repeal of Social Security Offsets, National Education Association, February 23, 2006.
May 2006
