Senate Approves Law Boosting Social Security for Retirees with Government Pensions

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about 2 months ago - Politics

The Senate just said a big "yes" to a new law that could make a lot of retired people very happy. Imagine you're a retired teacher or police officer who gets a pension from the government. Before this law, the amount of money you could get from Social Security (which is a program that helps older Americans with a monthly check) might have been less because you have that government pension. But now, with this new change, those penalties are going away. So, your Social Security check could get bigger, not smaller, just because you also get a pension from your government job.

Here's a simple breakdown:

  • The law they passed stops reducing Social Security money for folks with government pensions.
  • It also makes sure that if you have money coming in from somewhere else, like a private pension (which is money saved from your non-government jobs), your Social Security won't be cut because of it.

So, when would all these changes kick in? If everything goes as planned, by January next year (2024), retirees could start seeing a difference in their Social Security checks.

In the Senate vote, a total of 76 senators were in favor of making these changes, while 20 didn't think it was a good idea. They needed at least 60 (that's three-fifths of them) to agree for this to pass, and they did it! This means a big win for retirees who've been hoping for more support in their golden years.

This is a law that changes how Social Security benefits are calculated for people who get government pensions. The main point is that it stops two rules that could reduce the Social Security payments to these individuals.

  1. Government Pension Offset Repeal: Usually, if someone gets a government pension and did not pay Social Security taxes, their Social Security spousal or survivor benefits might be reduced. This law removes that reduction, ensuring people can receive more from Social Security.

  2. Windfall Elimination Provision Repeal: This rule reduced the Social Security retirement or disability benefits for those who worked in jobs that did not pay into Social Security but also had other jobs that did. With this law, the reduction is removed, potentially increasing their Social Security benefits.

The law applies to Social Security payments starting January 2024, meaning changes in payments will be seen from this date. The Social Security Administration will make necessary adjustments to ensure these calculations are reflected in benefits paid out.

96 votes

Yes

76

No

20

Not Voting

4

  1. Signed by President.
  2. Presented to President.
  3. Passed/agreed to in Senate: Passed Senate, under the order of 12/20/2024, having achieved 60 votes in the affirmative, without amendment by Yea-Nay Vote. 76 - 20. Record Vote Number: 338.
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  4. Point of order that the measure violates section 311(a)(3) of the Congressional Budget Act raised in Senate.
  5. Motion to waive all applicable budgetary discipline with respect to the measure agreed to in Senate by Yea-Nay Vote. 66 - 30. Record Vote Number: 337.
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  6. Message on Senate action sent to the House.
  7. Cloture motion on the measure rendered moot in Senate.
  8. Passed Senate, under the order of 12/20/2024, having achieved 60 votes in the affirmative, without amendment by Yea-Nay Vote. 76 - 20. Record Vote Number: 338.
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  9. Motion by Senator Schumer to commit to Senate Committee on Finance with instructions to report back forthwith with the following amendment (SA 3357) withdrawn in Senate.
  10. Motion by Senator Schumer to commit to Senate Committee on Finance with instructions to report back forthwith with the following amendment (SA 3357) made in Senate.
  11. Cloture motion on the measure presented in Senate. (CR S7286)
  12. Considered by Senate. (consideration: CR S7285-7287, S7303-7304)
  13. Measure laid before Senate by motion.
  14. Motion to proceed to consideration of measure agreed to in Senate by Yea-Nay Vote. 73 - 23. Record Vote Number: 328.
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  15. Motion to proceed to measure considered in Senate. (CR S7217)
  16. Cloture on the motion to proceed to the measure invoked in Senate by Yea-Nay Vote. 73 - 27. Record Vote Number: 326.
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  17. Motion to proceed to measure considered in Senate. (CR S7131)
  18. Referred to the Subcommittee on Social Security.
  19. Placed on Calendar Senate

    This is a law that changes how Social Security benefits are calculated for people who get government pensions. The main point is that it stops two rules that could reduce the Social Security payments to these individuals.

    1. Government Pension Offset Repeal: Usually, if someone gets a government pension and did not pay Social Security taxes, their Social Security spousal or survivor benefits might be reduced. This law removes that reduction, ensuring people can receive more from Social Security.

    2. Windfall Elimination Provision Repeal: This rule reduced the Social Security retirement or disability benefits for those who worked in jobs that did not pay into Social Security but also had other jobs that did. With this law, the reduction is removed, potentially increasing their Social Security benefits.

    The law applies to Social Security payments starting January 2024, meaning changes in payments will be seen from this date. The Social Security Administration will make necessary adjustments to ensure these calculations are reflected in benefits paid out.

  20. Engrossed in House

    This is about changing rules for some people who get Social Security payments. The goal is to make sure people who get these payments because they worked at jobs that don’t pay into the Social Security system are treated more fairly.

    First, the bill removes a rule that cuts Social Security benefits for people who also get a government pension. This means if someone worked in a government job that didn't pay into Social Security, their Social Security payments won't be reduced just because they get a government pension.

    Second, it gets rid of the "windfall elimination provision." This provision reduces the Social Security benefits for people who didn’t pay Social Security taxes at some of their jobs and also have other pensions. Now, their Social Security benefits won’t be reduced due to this rule.

    Lastly, these changes will start in December 2023. This means people who get Social Security payments will see changes or might get more money starting then. The Social Security office will adjust the amount of money people get to make sure everything is fair based on the new rules.

  21. Introduced in House

    This bill removes two parts from the Social Security laws that affected how much money people could get. The first part removed is the Government Pension Offset. This change means if you receive a government pension and Social Security from your spouse's work, now your Social Security benefit will not be reduced. The second part removed is called the Windfall Elimination Provision which affected how the Social Security benefit was calculated for people who have pensions from jobs where they did not pay into the Social Security system. These changes will start affecting payments in January 2024.