More than a million people in the United States have received retroactive payments totaling $7.5 billion, according to the Social Security Administration.
The administration confirmed in a news release on Tuesday that the 1.1 million people affected by a change in law have received an average retroactive payment of $6,710.
“President (Donald) Trump made it clear that he wanted the Social Security Fairness Act implemented as soon as possible,” administration Commissioner Lee Dudek said in a statement. “We met that challenge head on and are proudly delivering for the American people.”
What is the Social Security Fairness Act?
Former President Joe Biden signed the Social Security Fairness Act into law in January, reversing provisions that limited retirement benefits for certain workers, including some federal employees, first responders like police and firefighters, and teachers who receive pensions from public-sector jobs.
What provisions were eliminated because of the Social Security Fairness Act?
The Social Security Administration’s retroactive payments are the result of the cancellation of the Windfall Elimination Provision and the Government Pension Offset.
These provisions reduced or eliminated social security benefits for the more than 3.2 million workers who receive non-covered pensions (work that is not covered by social security) because they did not pay Social Security taxes.
How many people have been affected by the retroactive Social Security payments?
According to the agency, the law change has affected more than 1.1 million people, with an average retroactive payment of $6,710.
According to the news release, the agency will revise monthly benefit payments starting in April for people whose benefits increased as a result of the Social Security Fairness Act’s passage.