Should Congress alter the way they calculate benefits for public servants?
This bill introduces a phased-in change to the funding formula for calculating benefits under the Windfall Elimination Provision (WEP). WEP reduces Social Security benefits for individuals with pensions from non-covered employment - jobs in which one does not pay Social Security taxes The new formula adjusts lifetime earnings based on the proportion of those earnings subject to Social Security taxes. It affects those who become eligible for Social Security benefits after 2067 and have earnings from non-covered service after 1977. From 2025 to 2067, beneficiaries will receive the higher of the benefit under the current WEP or the new formula. Additionally, some beneficiaries already impacted by the WEP will receive extra payments. The bill also mandates including non-covered earnings in Social Security statements and requires a study on data sharing between the Social Security Administration and certain pension systems.
Sponsor: Rep. Jodey Arrington, (Republican, Texas, District 19)
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How do you feel?
Opponents say
• "This provision that my colleague and good friend is talking about, W.E.P., is minuscule in terms of comparing that to individuals. And as well-intended as I believe he is, this doesn't straighten out the problem. In our bill, Social Security 2100, we repeal W.E.P. and G.P.O. and we pay for it. And that is the responsible thing that Congress has to do. On behalf of the American people. Here's the facts. 70 million Americans rely on Social Security and it's the nation's number one anti-poverty program for the elderly, and the number one anti-poverty program for children. More veterans rely on Social Security for disability than they do the V.A. and Congress has done nothing to help these individuals out. Add to that, Mr. Speaker, the fact that 10,000 baby boomers a day become eligible for Social Security. Both of these bills coming before us, are steps forward. but we need to come together as a Congress and vote to fix Social Security in a manner that doesn't hurt or cut benefits for individuals that haven't seen a benefit enhancement in more than 50 years. We come here today and say here's a crumb but even in the form of this crumb, this proposal will cut benefits for hardworking, everyday Americans." Source: Rep. John Larson (Democrat, Connecticut, District 1)
Proponents say
• "Our teachers, firefighters, and police officers shouldn’t have their Social Security checks docked each month on account of an incomplete and outdated formula from the 1980s that shortchanges our seniors. Every month Congress fails to fix this inequity, retirees and their dependents lose precious resources they need and have earned." Source: Rep. Jodey Arrington, (Republican, Texas, District 19)
• "More than 200,000 Texas retired public educators and more than 2 million public servants nationwide are negatively affected by the unfair and arbitrary Windfall Elimination Provision (WEP), which reduces their earned Social Security benefits,”. “The Texas Retired Teachers Association (TRTA) supports the elimination of both the WEP and Government Pension Offset (GPO), and with it a full restoration of benefits for hundreds of thousands of Texas retired public school employees. TRTA hopes to build on the momentum of the last Congress and work with Congressman Jodey Arrington to move toward that ultimate goal." Source: Tim Lee, TRTA Executive Director
• "I began contributing to social security at age 16. I even worked a second job to supplement my income when I began teaching in 1981. I gained all the quarters to receive a social security pension when I turned “that magic age” only to find out I would not receive 100% of the benefit because I worked as a Texas teacher and am subject to the WEP. That is just wrong! The many Texas educators affected by this unfair formula are ready to see this travesty end for good. We offer a big thank you to Congressman Arrington for taking on this cause to turn a wrong into a right! We will be working right beside him to get this done, as soon as possible." Source: Terri Navrkal, Retired Lubbock ISD educator & Texas Retired Teachers Association State Secretary/Treasurer