President Joe Biden has recently expanded Social Security benefits for over 2 million Americans, particularly benefiting retired teachers and public employees.
This significant move came after he signed a bipartisan bill that Congress approved late last year.
Key Highlights of the Legislation
During a signing ceremony on Sunday, Biden highlighted the impact of this legislation, stating,
“By signing this bill, we’re extending Social Security benefits for millions of teachers and other public employees, and their spouses and survivors. That means an estimated average increase of $360 per month. That’s a big deal.”
Who Will Benefit?
The new law will affect nearly 2.5 million people, who will receive lump sum payments to make up for benefits they were supposed to receive in 2024.
This change addresses a long-standing issue where certain retirees received lower benefits due to two provisions: the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO).
Bipartisan Support for Change
The House of Representatives voted 327-75 to pass the bill in November, and the Senate followed suit with a 76-20 vote in December.
The new law will eliminate the WEP and GPO, allowing retired public workers to receive the full Social Security benefits they earned during their careers.
Reactions from Lawmakers
Maine Republican Senator Susan Collins, present at the signing ceremony, expressed her satisfaction with the repeal of these provisions, calling it a victory for many public servants.
She stated, “For too long, the WEP and GPO have denied retirees and their spouses the Social Security benefits they earned through years of work and contributions to the system.
This law ensures that public service will no longer come at the expense of one’s earned retirement benefits.”
A Long Time Coming
Former U.S. Representative Abigail Spanberger, who supported the House version of the bill, noted on social media that the elimination of these provisions had been a long time coming.
She emphasized, “Our retired police officers, firefighters, teachers, and public employees worked for DECADES to right this wrong.”
Financial Implications
While the expansion of benefits is a positive step, it comes with a cost.
The Congressional Budget Office estimates that this change will cost approximately $195.65 billion over the next ten years and could move the program’s insolvency date up by about six months.
According to the CBO, the Old-Age and Survivors Insurance (OASI) trust fund balance is now projected to be exhausted during fiscal year 2033, rather than later under current law.
A Historic Achievement
The signing ceremony was attended by various members of Congress from both parties, showing a united front in support of this beneficial change for retired public employees.
Conclusion
As Biden’s presidency nears its conclusion, this legislation stands out as a significant achievement, positively impacting the lives of many Americans who have dedicated their careers to public service.
Archer Bannister is a journalist with 4 years of experience covering hard-hitting stories. Currently working with Mikeandjonpodcast, Archer specializes in delivering timely and in-depth updates on a variety of topics, including crime news, politics, and national issues affecting the USA. His expertise and dedication to delivering accurate, impactful news make him a trusted voice for audiences seeking to stay informed on critical topics.
