Social Security benefits to increase starting March 2025: Who's eligible?
ByHT News Desk
Mar 21, 2025 07:17 PM IST
Monthly benefits may rise significantly, with some retirees receiving lump sum payments by the end of March.
For many retirees and their spouses in the public sector, retirement recently received a slight lift.
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By the end of this month, more than 3 million Social Security claimants will get higher benefits because to the Social Security Fairness Act, which President Biden signed into law in January.(Unsplash )
By the end of this month, more than 3 million Social Security claimants will get higher benefits because to the Social Security Fairness Act, which President Biden signed into law in January.(Unsplash )
The Social Security Fairness Act, which former President Joe Biden signed into law in January, will increase benefits for over 3 million Social Security recipients by the end of this month as reported by AOL.
Who is eligible?
For some workers, such as federal employees covered by the Civil Service Retirement System, certain teachers, firefighters, and police officers in many states, and those whose work had previously been covered by a foreign social security system, this statute boosts monthly Social Security benefits.
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These are usually retired workers who worked part-time or held side jobs throughout their lifetimes and received a pension based on employment that was not covered by Social Security.
For instance, a teacher is eligible for Social Security benefits if they paid into the program while working a part-time summer job. She might not have received all of her earned Social Security retirement payments because she was eligible for teacher pensions.
Because Social Security is an earned benefit, you must have paid payroll taxes during your working years to be eligible, and your earning history determines how much you will get in benefits.
The cost-of-living (COLA) adjustment is not new. In January, the 2025 COLA becomes operative. According to the SSA, that 2.5% rise increased the average monthly payout of about $1,900 by just under $50.
In addition, many retirees will receive a lump sum payment that will cover the rise in their benefit amount from January 2024 onwards—back pay, if you will. By the end of March, the money will be transferred by direct deposit.
Depending on several variables, such as the type of Social Security benefit received and the size of the individual's pension, the monthly benefit increase could range from a few hundred dollars to over $1,000.
The larger cheques (for their March 2025 benefit) will arrive in April.
Social Security will mail a note outlining the change to everybody whose monthly benefit is increased or who will receive a retroactive payment.
The Government Pension Offset (GPO) and Windfall Elimination Provision (WEP) are terminated by the law. People who get a pension based on labour that was not covered by Social Security in addition to income they paid taxes on had their Social Security benefits reduced or cancelled by these rules.
Approximately 72% of state and local governmental employees hold positions that are covered by Social Security and unaffected by WEP or GPO, according to the Social Security Administration. There will be no increase in benefits for such people.
Through your online My Social Security account, you can alter your address or direct deposit details, as well as check the status of your benefit.
But for many elders, that might soon become a barrier.
Crackdown on customer service
The Social Security Administration said this week that anyone wishing to monitor their benefits or request for new benefits must first authenticate themselves online.
This eliminates the decades-old regulation that allowed individuals to apply for benefits 100% of the time by simply calling a toll-free phone number. This is a significant barrier for people without internet access, especially in rural areas. Senior advocates are also furious about it.
Also read: Federal judge considers blocking DOGE from accessing Social Security data of millions of Americans
Making an in-person appointment already takes over a month. Some steps lined out to avoid inconvenience are:
*Make sure to bring identification when you do receive one.
*A valid document must include your name, identifying details (such as your age or date of birth), and ideally a recent photo.
*You can use your US passport, driver's license, or state-issued non-driver identity card.It could be difficult to find an office.
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