Landmark Legislation Repeals WEP and GPO: What It Means for Firefighters

Especially Beneficial for Side-Hustling Firefighters, High-Earning Spouses, and Widow/Widowers

Firefighters across the nation are celebrating a major win: the passage of the Social Security Fairness Act of 2024. After years of advocacy, this new law repeals the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO)—two rules that have long cut into Social Security benefits for those receiving pensions from non-Social Security-covered government jobs. Read on to learn how this historic change supports your financial future and offers particular advantages if you’re juggling a second job, have a high-earning spouse, or have lost a spouse.

Understanding WEP and GPO

1. Windfall Elimination Provision (WEP)

   • Reduced Social Security benefits for people who also earned a pension from non-Social Security-covered employment (like many state or local government firefighting positions).

   • This meant that if you worked another job—perhaps a side hustle where you paid into Social Security—the WEP could reduce the Social Security benefit you deserved.

2. Government Pension Offset (GPO)

   • Reduced spousal and survivor benefits by up to two-thirds of your government pension amount.

   • This especially harmed widow/widowers who relied on a deceased spouse’s Social Security benefits, significantly cutting into that income stream.

These provisions were introduced to prevent so-called “double dipping” but ended up disproportionately affecting firefighters, teachers, and other public servants.

The Social Security Fairness Act of 2024

Enacted on specificdatespecific datespecificdate, the Social Security Fairness Act eliminates both the WEP and GPO. According to the bill’s official text:

“The Windfall Elimination Provision (WEP) and Government Pension Offset (GPO), as established under Sections 202(k) and 215(a) of the Social Security Act, are hereby repealed. All benefits previously reduced under these provisions shall be recalculated effective December 1, 2024.”

Key Benefits for Firefighters

• Higher Monthly Checks: If you qualify for Social Security (including spousal or survivor benefits), any reduction from WEP or GPO is gone. That could translate into a substantial monthly increase.

• Retroactive Adjustments: Benefits that were previously reduced will be recalculated, starting with December 2024 payments—great news for retirees currently feeling the pinch.

• Easier Retirement Planning: With more income from Social Security, you have added flexibility to fund long-term care, support family, or invest toward other goals.

  
  

Who Stands to Gain the Most?

1. Side-Hustling Firefighters: Many firefighters take on second jobs or freelance gigs, meaning they’ve contributed to Social Security. Under WEP, a big chunk of those benefits could disappear. Now, your Social Security benefits from that extra work will no longer be reduced.

2. High-Earning Spouses: If you or your spouse has a high-paying career outside of firefighting, you might be eligible for spousal benefits under Social Security. With the GPO gone, that spousal benefit won’t be slashed by two-thirds of your firefighter’s pension.

3. Widow/Widowers: Survivors who relied on a spouse’s Social Security benefits previously faced severe cuts under the GPO. The repeal ensures widow/widowers get the full survivor benefits they’re entitled to, providing a more secure financial safety net.

Advocacy and the Path to Change

This legislative victory didn’t happen overnight. Firefighter unions, pension coalitions, and bipartisan leaders in Congress have been fighting for years to fix these unfair provisions. The strong bipartisan backing highlights a national acknowledgment that firefighters and other public employees deserve equitable treatment.

Next Steps for Firefighters

1. Review Your Benefits: Reach out to the Social Security Administration (SSA) to see how this repeal affects your current or future benefits. Updated benefit calculators will soon reflect these changes.

2. Consult a Financial Planner: With a possible boost in monthly income, it’s a great time to reassess your retirement plan. A professional planner can help you invest more strategically, whether you’re still working, have a second job, or planning to retire soon.

3. Stay Informed: Keep an eye on communications from your firefighter union or retirement association, which often share insights tailored to your state or city pension system.

A More Secure Financial Future

Repealing the WEP and GPO is a milestone for firefighters everywhere—especially those with side gigs, high-earning spouses, or who have lost a spouse and rely on survivor benefits. The extra income, coupled with retroactive payments, can make a real difference in your day-to-day life and long-term retirement security.

If you have questions about how to make the most of these new benefits, Carlson Planning Company is here to guide you. We understand the unique financial challenges firefighters face and stand ready to help you create a brighter, more secure future.

Sources

• Social Security Fairness Act of 2024 (H.R. 82)

• Social Security Administration

• Firefighter Advocacy Groups

Disclosures

1. General Information Only: The information provided in this article is for educational purposes and does not constitute legal, tax, or investment advice. Firefighters should consult with the relevant professionals (e.g., attorney, CPA, or financial planner) regarding their specific situation.

2. No Guarantee of Future ResultsReferences to past or potential financial outcomes are not guarantees of any future results. Actual results may vary based on personal factors and broader market conditions.

3. Regulatory ComplianceCarlson Planning Company is a fiduciary financial advisory firm; however, any decision to engage our services should be based on a thorough review of your objectives, financial situation, and our firm’s qualifications as disclosed in our Form ADV.

4. Third-Party SourcesLinks and references to external sources or organizations are provided for convenience and should not be construed as endorsements. We are not responsible for the accuracy or content of linked information.

If you have any questions or would like personalized guidance, please get in touch with Carlson Planning Company. We’re here to help you secure the future you’ve worked so hard to build.