Government Pension WEP Offset

WEP: reduces SS benefit for those with pension from non-SS-covered work (some teachers, gov, foreign). Max reduction ~$650/mo 2024.

WEP Reduction
SS After WEP
Total Income
Gov pension/mo
Pre-WEP SS
Years SS-covered
WEP reduction
SS after WEP
Total monthly income
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The Windfall Elimination Provision (WEP) reduces Social Security benefits for people who also receive a pension from non-SS-covered work — most commonly some teachers, government workers, foreign pension recipients. Max reduction 2024: $650/month. Eliminated entirely with 30+ years of SS-covered work.

WEP Mechanics

Uses different formula for SS benefit calculation. First bend point reduced from 90% to 40% factor (with adjustments based on years SS-covered work). Reduction phases out: under 20 years = full WEP; 20-30 years = partial; 30+ years = no WEP. Capped at $650/month (2024).

Who's Affected

Teachers in states with non-SS pension (CA, IL, KY, LA, MA, ME, NV, OH, TX). Federal CSRS retirees (not FERS — those are SS-covered). State/local government workers in non-SS systems. Foreign pension recipients. Affects about 2 million people.

Strategy to Reduce Impact

(1) Work 30+ years in SS-covered employment. (2) Earn enough each year (substantial earnings $30K+ 2024). (3) GPO separate — reduces spousal/survivor SS. (4) Time spousal benefits strategically. Cannot avoid WEP entirely if eligible.

Last updated May 2026. Sources: SSA WEP Calculator.