Race Day Live A new law, signed on January 5, 2025, brings relief to thousands of Nevada’s public workers, including teachers, firefighters, and government employees, who had been losing out on Social Security benefits for years.
The law, known as the Social Security Fairness Act, eliminates two provisions that have been reducing or cutting off payments for many retirees.
The Impact of the Social Security Fairness Act
The new law eliminates the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO), two rules that had long affected public workers.
By doing so, the law restores full Social Security benefits to many retirees who were previously denied them.
For Deanna Arroyo, a 67-year-old retiree, this change is life-changing. She worked for over 20 years at Clark County’s UMC, serving as a medical records clerk and supervisor.
Despite her work, her Social Security benefits were reduced because she also received a pension from her government job.
“I had to save as much money as I could, knowing I wouldn’t get the full Social Security benefits,” Arroyo explained. “Now, with this law, I don’t have to worry about paying bills anymore.”
Before the new law, Arroyo was only eligible for two-thirds of her Social Security benefits because of the Windfall Elimination Provision.
But now, she can receive both her pension and full Social Security benefits, which will provide her with financial security during retirement.
Who Benefits from the New Law?
The Social Security Fairness Act will help many people across Nevada. According to financial expert Brad Zucker, the law affects approximately 37,000 Nevadans who were affected by the Windfall Elimination Provision and another 11,000 people impacted by the Government Pension Offset.
“This change will have a huge impact on retirees in Nevada, especially those who worked in public service,” Zucker said. “They will now see an increase in their retirement income.”
Nationwide, the law benefits nearly three million public sector retirees.
Police officers, firefighters, school teachers, and other government workers who didn’t pay into Social Security but were working in non-profit or government positions will now receive their full Social Security benefits.
This change also applies to widows who weren’t eligible for benefits before.
Funding the New Law
While the new law offers financial relief to retirees, there’s a key question—how will it be funded? Financial experts, like Zucker, suggest that the government could raise taxes, adjust payroll tax rates, or even raise the current Social Security tax cap on incomes above $176,000.
“The government hasn’t revealed exactly how they plan to fund this change,” Zucker said. “But they might adjust tax rates to help cover the cost of these benefits.”
Read More:
- I Claimed Social Security at 65,Now I Regret It – Don’t Make This Costly Mistake!
- Social Security Warns Public About Rising Imposter Scams!
What Does This Mean for Retirees?
For Deanna Arroyo, the passing of this law is a huge relief. “This law lifts a huge burden off me,” she said. “For years, I thought my benefits would be taken away. Now, I can enjoy my retirement without worrying about money.”
The Social Security Fairness Act is a positive step forward for many public sector workers who dedicated their careers to serving their communities.
With full Social Security benefits restored, retirees like Arroyo can now live their retirement years with peace of mind.
How to Learn More?
If you are a public sector employee and think you might be eligible for benefits under the Social Security Fairness Act, it’s important to visit SSA.gov.
There, you can find more information about how this law could impact your retirement and learn how to apply for these benefits.
Disclaimer- Our team has thoroughly fact-checked this article to ensure its accuracy and maintain its credibility. We are committed to providing honest and reliable content for our readers.
+ There are no comments
Add yours