Social Security Fairness Act
My husband is a retired police office and had a second career after he retired from that job. He paid into social security for that second career. When he applied for social security at age 66 (full retirement age), his social security monthly check was reduced due to the WEP.
This year the when the Social Security Fairness Act was passed, his social security monthly payment increased and he also received a one time retroactive payment. The problem is that pushed us in the next tax bracket. So now, in essence we are giving back the extra money received from the Social Security Act. Is there a way around this?
Terry Says
Nope. And it may increase his monthly Medicare Part B and D premiums, as well. Just make sure you set aside money to pay taxes on the windfall amount next spring when you do your 2025 taxes. And make sure they are withholding enough from his monthly deposit.
This is a lovely problem to have — compared to so many who are having their benefits clawed back!
