Ask Larry

Non-Covered Pension - WEP / GPO

Would I Be Better Off Taking Out My Teacher Retirement System Contributions And Quitting Before I Reach Retirement Age?

Hi Larry,

I have a question regarding GPO and my survivor benefits. Would it be in my best interest to INSTEAD OF fully retiring from my teacher retirement system and receiving my pension with reduced survivor benefits - I take out all my pension contributions (yes, I know it will be taxed) and then quitting before I reach retirement age? If I did that, would I still be able to receive my full survivor social security benefits and keep my retirement contributions? TIA

Tuesday, November 8, 2022 - 11:40

Do Partial Years Count Towards The 30 Year Substantial Earnings Exception?

I am 62 and trying to plan when to take my social security benefit. I have two main questions:
(1) I was a teacher, so I will be WEP'd. I am looking at whether I can not be subject to WEP under the "paid 30 years into Social Security" exemption. I currently have 26 "substantial earnings years" and several other years where I almost made that particular year's "substantial earnings." Question: Do partial years count towards the calculation of 30 years substantial earnings?

Wednesday, November 2, 2022 - 21:09

How Could My Foreign Benefits Affect My U.S. Social Security Benefits?

Hi Larry. How could affect my US SS retirement benefits, include spousal, incoming foreign SS Benefits, what under Totalization Agreement? Part of my earnings were transferred to get foreign benefits. My foreign benefits are related to my 29 years of work in my born country. I had been paying SS to this foreign system, of course, all of these years, then I moved to USA 2 decades ago, got a job and paid into SS for a 11 years. I applied for US SS retirement Benefits and a claimant specialist helped me to apply for a spousal benefits too, what she advised.

Saturday, October 22, 2022 - 12:39

Will My CPP Cause A Deduction In My Spousal Benefit Due To WEP Or GPO?

I don't have 10 quarters of work in the US. I can qualify however for social security with my Canadian earned credits but taking spousal social security would be a greater amount so I do qualify for that.
My husband has worked in the US for over 30 years. Because I am collecting CPP will I be subject to a a deduction in my Spousal social security either under WEP or GPO.
Thank you

Friday, September 16, 2022 - 16:00

Can I Be Penalized Twice For The 2/3rds Rule?

Can I be penalize twice for the 2/3 rule? I retired from DoD and became a contractor paying into SS. When I retired from private industry, I was assessed 2/3 reduction. I accepted that, it was not news. My spouse passed several years later (last year). When I applied for widow's benefit I was told in one paragraph that I would receive $700 more a month (the difference between my husband SS). In the next paragraph I was told that I would not get the additional monies because of the 2/3 rule. I reclama it in writing using double penalization rule. Have never heard anything more.

Monday, August 29, 2022 - 15:15

What Are The Implications For Me As A Public Servant Who Doesn't Pay Social Security Taxes?

Hi Larry!

I was a public servant for 10 years and now work for a state-level hospital system, both of which have pension programs. I do not pay into Social Security. This seems typical for some states (Massachusetts, Colorado) but my understanding is it may not be the same for all states. I'm curious what, if any, implications there might be when I reach retirement age? Thanks for your insight!

Friday, August 26, 2022 - 14:40

Why Does The Windfall Act Affect Me?

I am collecting ssn disability and I also collect a pension why does the windfall act affect me ?

Hi. The Windfall Elimination Provision (WEP) can cause a person's Social Security retirement or disability (SSDI) benefit rate to be reduced if they receive another pension that's based on their earnings, and if those earnings were exempt from Social Security taxes. So, if the other pension you receive is based on your earnings and if you didn't pay Social Security taxes on those earnings, that's why your SSDI benefits can be affected by WEP.

Friday, August 26, 2022 - 12:04

Does The WEP Reduction Apply During Suspended Status?

Does the WEP reduction apply during Suspended status?
I had understood that the WEP reduction doesn't apply during the suspension period, was I mistaken?
I received a letter from SSA stating that they reduced my SSA benefits due to WEP.
I chose to suspend for two reasons:
1. Delay the SSA benefits to increase the amount.
2. Avoid the WEP reduction until I reinstated the SSA benefits.

Monday, August 8, 2022 - 16:13
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