Social Security Fairness Act and elimination of WEP for expats
 

I've tried to read the bill that's coming up for a vote but can't tell if it affects those of us with UK state pensions and US social security. Under the current Windfall Elimination Provision your US social security is reduced on a sliding scale based on how many years you paid social security.

From what I can tell in the news and from comments on various union websites the bill will eliminate the WEP completely, which means that those of us with UK state pensions and a US social security pension will no longer get reduced benefits if we have under 30 years of contributions to social security.

Am I barking up the wrong tree here?

Re: Social Security Fairness Act and elimination of WEP for expats
 

It’s the right tree but unfortunately it never get to bloom. Various politicians have been trying to get WEP and GPO eliminated for decades but the bills never get enough support to pass both houses. It does seem that there is a little more support with each passing year, so fingers crossed that it may eventually pass. Perhaps this will be the charm. If it does it will be interesting to see how they handle those who have already been WEP’d or GPO’d. Do they restore Social Security back to non WEP/GPO levels (you would hope so). Do they refund what has been taken to date (unlikely but would be the right thing to do).

Re: Social Security Fairness Act and elimination of WEP for expats
 

Technically it's 30 years of 'substantial earnings', not contributions. That's not likely to be a significant distinction for most folk, but if you're only working part-time or very low wage, you could get your 4 SS credits each year but be short of qualifying years for WEP purposes.

BTW - you say the bill is called 'Social Security Fairness Act' or some such. Wasn't the point of WEP/GPO to actually make Social Security fairer in the first place? So logically removing those provisions would make it less fair, right? 😕

Re: Social Security Fairness Act and elimination of WEP for expats
 

Those substantial earnings go up each year, e.g. you need to earn over $31k in 2024 for it to count as a year reducing WEP.

https://www.ssa.gov/pubs/EN-05-10045.pdf

SSA is still desperately short of money and unless something is changed will not be able to continue to pay out benefits beyond about 2035. Elimination of WEP will be an increase in spending and I just don’t see Congress doing that in the foreseeable future.

Re: Social Security Fairness Act and elimination of WEP for expats
 

My spouse’s SSA payment is subject to WEP based upon her LA County pension, so we are interested. (I had taken advantage of deferring my SS until age 70 while using the now obsolete provision allowing taking the spousal benefit in the interim. So, my benefit was hit by the GPO.) In the past, WEP repeal did not make it out of committee. This time, a Congressional majority signed onto a discharge petition, a very rare procedure.

I read the very short repeal bill. If enacted it will not apply to benefits payable before 2024.

Re: Social Security Fairness Act and elimination of WEP for expats
 

This is becoming quite interesting. I've posted before about similar legislation being raised every year for the last 20 years and it has not passed yet and always thought it would have zero chance of passing anytime soon. I've just taken a look at all the competing legislation and comments, and it's actually getting very close to being passed, if not this year, then maybe soon. None of the current proposals are retroactive.

Re: Social Security Fairness Act and elimination of WEP for expats
 

As a point of interest, where do you look to get an understanding if it's close to being passed or not?

Re: Social Security Fairness Act and elimination of WEP for expats
 

From my viewpoint - the number of cosponsors of House and Senate bills for each year the bills have been proposed is increasing, but more importantly more positive public comments from senators and representatives.

Re: Social Security Fairness Act and elimination of WEP for expats
 

I believe you can register to track these bills at the following sites.

https://www.govtrack.us/congress/bills/118/hr82

https://www.govtrack.us/congress/bills/118/s597

Re: Social Security Fairness Act and elimination of WEP for expats
 

Both my wife and I will qualify for the full UK state pension. I will qualify for SS without any WEP deduction. My wife will take the spousal benefit based on my SS contributions as she has a very short working career in the US and at a low salary. Does any one know if WEP will apply to her SS benefit based on my SS contributions?

Re: Social Security Fairness Act and elimination of WEP for expats
 

So what on earth happens to retirees then? :blink:

They will have a country full of destitute people, not to mention those abroad.

Re: Social Security Fairness Act and elimination of WEP for expats
 

WEP does not apply to spouse benefits, but the GPO (Government Pension Offset) does. The good news is the latter is not affected by overseas pensions, so you spouse will not have any deductions.

Re: Social Security Fairness Act and elimination of WEP for expats
 

Durham_lad's statement is not completely accurate. After about 2035 SSA will not be able to pay out 100% of the current benefit amounts. Estimates vary, but there might need to be a 25% cut unless the system is reformed.

Re: Social Security Fairness Act and elimination of WEP for expats
 

Not great either, for those relying on it.

Re: Social Security Fairness Act and elimination of WEP for expats
 

Exactly.

But I expect Congress will act at the last minute to add more funding if only to save their own jobs as the SS crowd have the highest voter turnout demographic.