Beginning in April 2025, millions of Americans will see a Social Security increase that will be very beneficial. This Social Security increase is due to the repeal of the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO) under the Social Security Fairness Act. The repeal of these two provisions is expected to benefit over 3.2 million retirees, including police officers, teachers, firefighters, and various federal employees.
Why the Social Security increase in April?
In January 2025, President Biden signed into law the Social Security Fairness Act, which repealed WEP and GPO, which previously reduced or eliminated Social Security benefits for several public employees who had received pensions from jobs that did not pay into Social Security.
Because of these provisions, many workers lost a portion of their benefits simply because they received a government pension. Now that the rules have been repealed, those affected will receive higher Social Security payments starting in April.
Who qualifies for higher Social Security payments?
Not all workers will receive higher Social Security benefits in April. The increase applies only to workers who were previously affected by the WEP and GPO. These workers are
- Teachers
- Police officers
- Firefighters
- Workers who have contributed to a foreign social security system
- Federal employees covered by the Civil Service Retirement System (CSRS)
So if you worked in one of these jobs and had your Social Security benefits reduced because of the GPO and WEP, April will bring good news because those reductions will be a thing of the past.
How much of an increase should you expect?
The amount of your Social Security increase in April will depend on your work history, your pension, and the type of Social Security benefit you receive. According to the Social Security Administration (SSA), the expected average increase will be about $360 per month, but some retirees could receive an increase of up to $1,000 per month. Other beneficiaries will also receive lump-sum retroactive payments to make up for benefits lost since the law took effect in January 2024. On average, these retirees could receive about $6710 in back payments.
How will the Social Security increase affect my taxes?
While April’s Social Security increase is good news for millions of retirees, it may also have tax implications. Social Security benefits are taxable if your income exceeds a certain threshold. For example, if you receive a large retroactive payment in April, your taxable income will increase in 2025, meaning that many of these beneficiaries will have to part with more money in the form of taxes. To learn how you’ll be affected by the taxes, it’s a good idea to schedule a meeting with your financial advisor to plan your finances.
Steps to take if you qualify for the Social Security increase
If you qualify for this Social Security increase in 2024, the SSA will automatically adjust your payments, so there is no need to apply if you have been receiving the benefits. However, if you have never applied for Social Security benefits under the WEP or GPO provisions, you may need to apply. You can check to see if you qualify for these payments by
- Logging on to your My Social Security account at ssa.gov.
- Calling SSA at 1-800-772-1213.
- Visiting a local SSA office for face-to-face assistance.
April appears to be a good month for millions of Americans who have been beneficiaries of SSA. If you were affected by GPO or WEP, or both, you are one of the lucky ones who will receive significant increases in your monthly Social Security benefits, while some may even receive lump sum payments for benefits that were denied in the past.
If you have any doubts about whether you qualify for these benefits, check your Social Security account or call the SSA. For those who have been receiving benefits and those who qualify, the increase will allow them to cover their expenses with ease and secure a more comfortable financial future.