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What is WEP and how did it affect the Social Security benefits of thousands?

The article discusses the Windfall Elimination Provision (WEP), a rule implemented in 1983 to adjust Social Security benefits for individuals who receive pensions from jobs not covered by Social Security, like certain government positions. WEP modifies the formula used to calculate Social Security benefits, reducing them to account for what is perceived as an unintended advantage in the original benefit calculation for those with pensions from non-Social Security covered employment. This provision primarily affects public sector workers such as teachers, police officers, and firefighters in states where they do not pay into Social Security. The article explains that WEP aims to make the benefit formula fairer by reducing benefits for those who have worked in both covered and non-covered employment, although it has been a source of confusion and contention, with many affected individuals feeling their benefits are unfairly cut. There's ongoing debate and legislative efforts to reform or repeal WEP, reflecting its significant impact on the retirement planning of many public servants.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/politics/government/what-is-wep-and-how-did-it-affect-the-social-security-benefits-of-thousands/ar-AA1x8YSO ]