The Social Security Fairness Act continues to deliver retroactive payments to millions of beneficiaries in 2026, more than a year after President Biden signed the landmark legislation into law on January 5, 2025. The law repealed two long-standing provisions—the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO)—that had reduced or eliminated Social Security benefits for over 2.8 million people who received pensions from work not covered by Social Security.
As of July 7, 2025, the Social Security Administration completed sending over 3.1 million payments totaling $17 billion to eligible beneficiaries, according to the SSA’s official website. This milestone was reached five months ahead of schedule, marking one of the largest retroactive payment initiatives in Social Security’s history. The average lump-sum retroactive payment was approximately $6,710, covering benefits withheld from January 2024 onward.
The retroactive nature of the law means beneficiaries receive two distinct forms of relief. First, they receive a one-time lump-sum payment deposited into their bank account on file with Social Security, covering the increase in their benefit amount back to January 2024—the month when WEP and GPO no longer apply. Second, their monthly Social Security payments have been permanently increased going forward. Most affected beneficiaries began receiving their new, higher monthly benefit amounts in April 2025, with Social Security benefits paid one month behind.
The individuals eligible for these payments include teachers, firefighters, and police officers in many states; federal employees covered by the Civil Service Retirement System; and people whose work had been covered by a foreign social security system. However, not all public employees qualify. Approximately 72 percent of state and local public employees work in Social Security-covered employment, where they pay Social Security taxes and are not affected by WEP or GPO, so they receive no benefit increase from the law.
The amount of monthly benefit increases varies significantly depending on factors such as the type of Social Security benefit received and the amount of the person’s pension. According to the SSA, some people’s benefits increased by only a small amount, while others became eligible for more than $1,000 per month in additional benefits. The implementation process has continued smoothly into 2026, with the SSA maintaining its automated processing systems to ensure all eligible beneficiaries receive their adjustments.
For those who had never applied for retirement or spouse’s benefits due to WEP or GPO restrictions, the law created a new opportunity. The SSA reports that since the Social Security Fairness Act was signed, it has taken 289,715 new applications from people previously discouraged from applying. The agency has completed processing 92 percent of these new applications. However, standard Social Security retroactivity rules still apply to new applicants—generally limited to six months of retroactive benefits before the month of application, except for certain disability claims.
The law represents a significant shift in Social Security policy. WEP had reduced benefits for workers who received government pensions, while GPO had reduced or eliminated spouse and survivor benefits for those with government pensions. Both provisions had been criticized for decades as unfair to public sector workers who paid Social Security taxes but received non-covered pensions. The repeal applies retroactively to January 1, 2024, meaning December 2023 was the last month these provisions applied to any beneficiary.
Sources
- Social Security Administration — Official page on the Social Security Fairness Act, including implementation timeline, payment statistics, and eligibility information
- CNBC — Coverage of the Fairness Act’s retroactive payment structure and benefit increases for nearly 3 million people
- The Motley Fool — Reporting on the $17 billion in retroactive payments and average payment amounts of $6,710
- Kiplinger — Timeline of retroactive payment distribution from February 24 through July 7, 2025
- Congress.gov — Implementation details and retroactivity provisions for benefit applications
