Social Security recipients could get additional retroactive payments after senators urge push for policy change

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Some Americans may receive additional social Security This year’s one-time retroactive payments were canceled after several U.S. senators urged the Social Security Administration (SSA) to revise its implementation of the Social Security Equity Act.

U.S. senators urge the Social Security Administration to revise its retroactive payment policy under the Social Security Equity Act, opening the way for increased payments to beneficiaries. (AFP)
U.S. senators urge the Social Security Administration to revise its retroactive payment policy under the Social Security Equity Act, opening the way for increased payments to beneficiaries. (AFP)

The Social Security Equity Act last year eliminated the Government Pension Offset (GPO) and the Windfall Elimination Provision (WEP). This means many older pensioners receive higher Social Security payments, but some are unable to receive the full retroactive lump sum payment.

If the SSA agrees to the request, affected beneficiaries could receive retroactive payments covering up to 12 months of missed benefits under the law, expanding the scope of the earlier six-month payments originally issued by officials.

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Who benefits and by how much?

this Social Security Equity Act Previous WEP and GPO formulas that reduced certain civil servant benefits have been eliminated. Many of these beneficiaries should not only receive higher future monthly payments, but also one-time payments retroactive to 2024.

Under the SSA’s current rules, the retroactive payment period for pensioners is six months, rather than one year for these beneficiaries.

This affects 2.8 million Americans, most of whom are the surviving spouses of teachers, firefighters or police officers, as well as some federal employees who receive Social Security points.

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Senators push for changes to retroactive payment policy, funding challenges

senator John CorningRepublican John Fetterman of Pennsylvania and Republican Bill Cassidy of Louisiana are urging the SSA to change its current retroactive payment policy.

However, the date the law was passed is unclear. Congress “did not distinguish between new and current beneficiaries when setting the effective date of the Act.” Nor should SSA adhere to the “plain text” of regulations.

In a letter to the SSA earlier this month, Cassidy, Cornyn and Fetterman said: “We do not blame the SSA for not having a crystal ball.”

Because of the SSA’s ongoing financial problems, which many experts predict could cause the agency to run out of funds for full payments as early as 2033, there may be some opposition to allocating full-year, one-time payments.

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