Repeal of the Government Pension Offset (GPO)
For those asking, "What is the new law for Social Security spousal benefits?", the most significant change is the repeal of the Government Pension Offset (GPO). The GPO was a rule that reduced or eliminated Social Security spousal or survivor benefits for individuals who also received a pension from a government job not covered by Social Security. Many public employees, such as teachers in certain states, police officers, and federal workers under the Civil Service Retirement System (CSRS), were affected by this provision. The SSFA, signed in January 2025 and retroactive to January 2024, removes this financial penalty entirely.
Previously, the GPO offset a spousal benefit by two-thirds of the amount of the non-covered government pension. For many, this resulted in a full elimination of their spousal Social Security payment. The repeal ensures that these spousal and survivor benefits are no longer subject to such reductions, offering significant financial relief to those impacted.
Elimination of the Windfall Elimination Provision (WEP)
In addition to repealing the GPO, the Social Security Fairness Act also eliminated the Windfall Elimination Provision (WEP), a related but distinct rule. The WEP reduced an individual's own earned Social Security retirement or disability benefit if they also had a pension from a job that did not withhold Social Security taxes. For instance, a person who spent decades as a teacher in a non-covered school district but also worked part-time in Social Security-covered employment would have their earned Social Security benefit reduced. With the WEP's repeal, these individuals will now receive their full earned Social Security benefit.
For many retirees, the removal of both the GPO and WEP will result in higher monthly Social Security payments. The Social Security Administration (SSA) began implementing these changes in 2025, with retroactive payments covering the period since January 2024 for those who were impacted. The SSA has a dedicated webpage for updates on the implementation process.
Impact on Spousal vs. Survivor Benefits
- Spousal Benefits: Eligibility is based on being married for at least one year and the primary worker having claimed benefits. Maximum benefit is 50% of the primary worker's full retirement age benefit. Claiming early results in permanent reduction.
- Survivor Benefits: A widow or widower can claim up to 100% of the deceased spouse's benefit at their own full retirement age. Reduced benefits can be claimed as early as age 60, or age 50 if disabled. The benefit is not capped at 50%.
Important Remaining Social Security Rules
While the elimination of the GPO and WEP is the major news, several other rules continue to shape Social Security spousal benefits. These were not altered by the recent legislation.
Deemed Filing: When a person files for either their own retirement benefit or a spousal benefit, they are automatically "deemed" to have filed for both simultaneously. The SSA will then pay the higher of the two benefits. This rule, a result of the 2015 Bipartisan Budget Act, effectively ended the popular "file and suspend" strategy for most couples.
Voluntary Suspension: A worker who has reached their full retirement age (FRA) can voluntarily suspend their own retirement benefits to earn delayed retirement credits, increasing their future payments. However, if the worker suspends their benefits, any associated spousal benefits based on their record also stop. An exception exists for divorced spouses, who can continue to receive their divorced spousal benefit even if their ex-spouse suspends their own retirement benefit.
Claiming Before Full Retirement Age (FRA): Claiming spousal benefits before your FRA will result in a permanent reduction of your benefit amount. For those born in 1960 or later with an FRA of 67, claiming at age 62 will result in a spousal benefit that is only 35% of the primary worker's PIA, not 50%.
Comparison of Spousal vs. Survivor Benefit Rules
| Feature | Spousal Benefits | Survivor Benefits |
|---|---|---|
| Eligibility Age | Can start as early as age 62. | Can start as early as age 60 (age 50 if disabled). |
| Benefit Amount at FRA | Up to 50% of the primary worker's benefit. | Up to 100% of the deceased worker's benefit. |
| Remarriage Rules | Remarrying generally ends eligibility, with some exceptions. | Remarrying after age 60 does not impact eligibility. |
| Primary Worker Needs to File | Yes, the primary worker must be receiving benefits (unless divorced for 2+ years). | Not required, since the worker is deceased. |
| Impact of Worker Delaying | No benefit increases beyond the 50% cap if the worker waits past their FRA. | The benefit is based on the deceased's record, including delayed retirement credits. |
Divorced Spousal Benefits
Eligibility for divorced spousal benefits continues for individuals who were married for at least 10 years, have been divorced for at least two years, and are unmarried. A notable change from older laws is that a qualified ex-spouse can claim benefits even if the primary earner has not yet started receiving them, provided they have been divorced for at least two years. Furthermore, a divorced spouse's claiming of benefits has no impact on the benefits of the primary earner or their new spouse.
What the New Law Means for Current and Future Claimants
For those who were already retired and had their Social Security benefits reduced by the GPO or WEP, the new law is a welcomed correction that will increase their monthly payments. The retroactive payments since January 2024 were processed during 2025, and many have already received or will soon receive a lump sum payout.
For future retirees, this change means a more straightforward calculation of benefits without the complicating and penalizing factors of GPO and WEP. While strategic claiming decisions still matter due to the existing deemed filing rule and FRA considerations, the removal of these offsets ensures that work in non-covered employment will no longer penalize a person's or their spouse's Social Security. The SSA is working to identify and notify affected individuals, but checking your own account is always a prudent step.
Conclusion
The new law for Social Security spousal benefits, enacted by the Social Security Fairness Act, is a pivotal reform that repeals the GPO and WEP. This change restores previously reduced benefits for many public sector workers and their spouses, providing a more financially secure retirement. While other important claiming rules remain in effect, this legislative change simplifies the benefit calculation process and corrects a long-standing inequity for millions of retirees. Anyone who worked in non-covered employment and also qualifies for Social Security benefits should review their situation with the SSA to ensure they receive all the benefits they are entitled to. ssa.gov/benefits/retirement/social-security-fairness-act.html
