NCPSSM :: Ask Mary Jane :: Archive of Questions and Answers

Q.	I retired in May 31, 1983, at the age of 55. I had worked for the state of New York for 30 years doing clerical work in a college library. I drew my small state pension until I was 62 years of age and I then started drawing my Social Security benefits. While I worked at the state library, I had no Social Security taxes removed from my salary. However, before I went to work for the state, I had already earned 40 quarters of Social Security. When I retired, I was told when my husband passed away, I would receive his full Social Security. I lost my husband in April 1999. I told I was not allowed to have any of his Social Security because of the double dipping law. I know they are trying to do better things to the Social Security law. Has anything at all been done that would enable me to get my husband's full Social Security? It would certainly help me immensely.
A.	Your right to a Social Security widow benefit is affected by a provision of Social Security law known as the Government Pension Offset. This provision was enacted in 1977 and, for most women became effective in December 1982. To learn more about the provision, go online to http://www.ssa.gov/. Click on publications and select the fact sheet entitled Government Pension Offset.
Q.	I worked and paid into Social Security for about 20 years. For the following nineteen years I served as a teacher and I did not pay into Social Security. When I applied for my social security, I was told I would receive only $140 per month. Further, I would not receive any benefit from my husband's social security since I did not contribute to Social Security while I was a teacher. As I see it, I am being penalized for teaching children for 19 years. Do you agree that an injustice has been done? Can you help me in any way?
A.	Social Security has a number of offsets reducing monthly Social Security benefits for persons also receiving an annuity from employment that was not covered by Social Security. You are affected by two of them: the Government Pension Offset and Windfall Elimination. The Government Pension Offset became law in December 1977. The rationale given for the change was it made Social Security spousal benefits comparable for couples whether both worked under Social Security or one worked in Social Security employment and the other in non-covered government employment. When both husband and wife work in Social Security employment, each is eligible for whichever is greater-his or her own benefit or a spouse or widow(er) benefit based on the other spouse's Social Security earnings record. A problem with the Government Pension Offset is that in countless cases, the offset far exceeds the reduction that would occur if the husband and wife had each had the same lifetime earnings, but solely in Social Security employment. This is particularly true with a mixed public and private career. Spousal benefits are offset first by an individual's own Social Security and the balance, if any, by two-thirds of the government annuity. The Windfall Elimination Provision (WEP) of the 1983 Social Security Amendments deepens the lifetime benefit loss for the lower earning member of the couple if he or she had a mixed career. WEP reduces a personal Social Security benefit for anyone who also has earned an annuity from non-Social Security employment. If you are receiving only $140 a month, your WEP loss is 55.5 percent of the benefit you would otherwise be entitled to receive.
Q.	I don't understand how 13 states can pass a social security offset. Social Security is a federal program. It seems unfair that I have worked and can't collect on my husband's Social Security while friends stayed home and they can. Also if I worked in another state I could collect. How can this be legal?
A.	Social Security is a Federal law, identical in every state. What you may be referring to is the Government Pension Offset which reduces (and often eliminates) Social Security spouse or survivor benefits for government annuitants who receive a pension from government employment that was not covered by Social Security. About three-fourths of all state and local employees are covered by Social Security. They are unaffected by the Government Pension Offset. For more information, go online to http://www.ssa.gov/. Select publications and then select the issue brief entitled Government Pension Offset. Legislation has been introduced in every Congress since 1981 to repeal or reduce the offset. In the 107th Congress, H.R. 616, a bill by Congressman William Jefferson (D-LA) would reduce or eliminate the offset for individuals with low retirement income. You may read the text of either bill by accessing Congress' legislative web site. The internet address is http://thomas.loc.giv/.
Q.	I have paid my 40 quarters into the Social Security fund over the last 21 years from employment in the private sector. I am 40 years old and have started what I hope to be a Federal career. I am covered by the new FERS plan. Will Government Pension Offset or Windfall Elimination have an effect on the Social Security that I have already paid into the system? Please "say it ain't so."
A.	The Government Pension Offset and Windfall Elimination provisions of the Social Security Act apply only to individuals receiving an annuity from non-Social Security covered employment. As your government employment is covered by Social Security, you will not be affected by either of these provisions. When you become eligible for Social Security, your monthly benefit will be based on your lifetime earnings on which FICA taxes were paid.
Q.	My father retired early in 1987. Recently he applied for social security. With little explanation, he learned his social security would be reduced almost 47 percent because he is drawing a pension from the city he worked for. Please advise me where to go next as I suspect his social security should not be reduced.
A.	Your father's Social Security benefit is affected by the Windfall Elimination Provision of the 1983 Social Security Act. The Windfall Elimination Provision requires a Social Security check to be determined by a reduced benefit method when a retiree also receives a pension from employment that was not covered by Social Security. For further information about this provision go on line to the Social Security Administration at http://www.ssa.gov/. Click on publications and review the fact sheet entitled A Pension From Work Not Covered By Social Security.
Q.	Do pension offsets apply only to federal government pensions or also to state, county, and city pensions?
A.	The Government Pension Offset of spouse and widow benefits applies to any public employment that was not covered by Social Security. The pension received could be from local, state or Federal employment. In contrast, the Windfall Elimination Provision that reduces an individual's own Social Security if he or she also earned an annuity from non-Social Security employment applies to any employment that was not covered by Social Security.
Q.	I have received contradictory advice. I am 65 and am still working but understand from my Social Security office that the Government Pension Offset applies to my widow benefit even though I have not retired from my government job. My co-worker receives her spousal benefit and tells me she won't lose it until she retirees. Who is right?
A.	The Government Pension Office begins when a government retiree is eligible to receive a monthly pension check for public employment that was not covered by Social Security. You cannot receive your government pension until you retire. Since you are 65 and still working, apply immediately for your widow benefit. With repeal of the earnings limitation you are entitled to your widow benefit without regard to your earnings. When you retire, your widow benefit will be reduced by two-thirds of your government annuity. If two-thirds of your annuity exceeds your widow benefit, no further Social Security will be paid. The same advice applies to over-age-65 spouses and to government workers who are eligible for their own Social Security based on non-government employment. These workers can receive their full Social Security determined without the Government Pension Offset or the Windfall Elimination reduction that will be applicable when they retire and become entitled to their government annuity.
Q.	I had my 40 quarters of Social Security over 30 years ago. I have since worked for a municipality and am receiving a pension from work that was not covered by Social Security. I find I cannot collect any Social Security because of my public employment.
A.	That is not correct. No worker who is fully insured for Social Security retirement benefits (i.e. has 40 or more quarters of Social Security covered earnings) is denied a Social Security benefit at retirement age. The Social Security Act's Windfall Elimination Provision reduces a monthly check, but does not eliminate it.
Q.	I was born in April 1944. I want to know when I could start collecting Social Security? Also, I have been told because I have a state retirement, my Social Security benefit will be reduced. I would like to know why.
A.	Under current law, you will be eligible to apply for a reduced Social Security benefit at age 62. That has not changed. What is changing is the age for receipt of an unreduced benefit. The age for a full benefit is rising from 65 to 66 at the rate of two months each year beginning with workers and spouses born in 1938 who must be 65 years and two months for a full benefit. Workers and spouses born in 1939 must wait until 65 years and four months; 1940, 65 years and six months, etc. When the age for receipt of full benefits rises to 66, it will remain at that age for 11 years before it again begins to rise from 66 to 67 at the two-months-a-year rate. A worker born in 1937 or earlier who begins benefits exactly at age 62 receives a 20 percent reduction in his full benefit. Because you were born in 1944, your full benefit will be reduced 25 percent if you begin benefits as soon as you are eligible. If your state employment was not covered by Social Security, the Windfall Elimination Provision of Social Security law requires that your own Social Security benefit be computed by a reduced benefit formula unless you have at least 30 years of substantial Social Security earnings. For information about this provision, go on-line to the Social Security Administration's web site at http://www.ssa.gov/ Click on "publications" and review the fact sheet entitled "A Pension From Work Not Covered By Social Security." If the Social Security benefit to which you refer is a spouse or widow(er) benefit, you will be subject to an offset if your state employment was not covered by Social Security. For further information read the Social Security Administration fact sheet "Government Pension Offset."
Q.	My wife receives a small public pension. She worked as a part-time cook for a local school system where she earned approximately $160 per month. Does an offset apply to her Social Security spouse benefit? I have provided the majority of the income and support while she worked? Or does the offset apply regardless of income? Does the offset apply to a widow with a public pension? I have been unable to find anyone at Social Security who can verify the applicable section of the statute. Please help clarify!
A.	Your wife's Social Security spouse or widow benefit (based on your Social Security earnings record) is subject to the Government Pension Offset provision. That provision, enacted in 1977, is Section 202(g)4 of the Social Security Act. The fact that you have always been the family's primary wage earner is not a consideration. The Government Pension Offset requires that any spouse or widow benefit otherwise payable be reduced by two-thirds of any pension received from public employment that was not covered by Social Security. In many instances, Social Security spouse or widow benefits are totally offset. For more information about the offset, go on line to the Social Security Administration at http://www.SSA.gov, click on publications and review the Fact Sheet entitled "Government Pension Offset."