Who Will Benefit from Increased Social Security After Biden’s New Bill
Biden’s recent bill aims to boost Social Security benefits for millions, clarifying who qualifies for the changes.
Social Security, Biden, Public Sector Workers, USA
Washington: So, President Biden just signed this new bill to help boost Social Security benefits for a lot of public sector workers. It’s been a long time coming—20 years, in fact! Many folks are curious if they’ll be eligible for these changes.
The bill, called the Social Security Fairness Act, got rid of some old rules that were cutting benefits for retirees who also had pension income. Biden mentioned that this is all about making sure hard-working Americans can retire with dignity and security.
He estimates that certain public employees and their families could see an average monthly increase of about $360. Plus, over 2.5 million people might get a one-time payment to make up for what they missed out on last year. That’s a pretty big deal!
This bill passed the House last November and got a solid thumbs-up in the Senate with a 70-26 vote. It’s expected to cost around $196 billion over the next decade, according to the Congressional Budget Office.
And just to add to the good news, Social Security recipients are also getting a 2.5% cost-of-living adjustment in 2025. So, it’s a good time to be looking into these benefits.
Now, if you’re wondering who exactly will benefit, it includes police officers, firefighters, nurses, postal workers, teachers, and other government employees. Basically, anyone working for the government or a government-funded organization is in the mix.
Senate Majority Leader Chuck Schumer called it a “great gift” for those who’ve served in public roles and contributed to Social Security but were penalized because of their jobs. He’s right; it does seem a bit unfair that they were getting shortchanged.
Before this bill, some retirees had their benefits reduced if they earned pension income from non-covered jobs. But now, that’s all changing, which is a relief for many.
Of course, not everyone is on board with this bill. Some critics, like Senator Chuck Grassley, argue it could create more unfairness in how benefits are calculated and might even hurt the overall Social Security fund.
Looking ahead, the Social Security Administration is figuring out how to roll out these changes. If you’ve already filed for benefits and they were affected, you don’t need to do anything except make sure your contact info is up to date. If you haven’t filed yet, you can do it online or set up an appointment.
So, it looks like there’s a lot to keep an eye on with this new bill and how it’ll impact folks moving forward!