WINDFALL ELIMINATION PROVISION (WEP)
Are you eligible for Social Security and an Ohio Public Pension (STRS, OPERS, OP&F, SERS)?
If you qualify for S.S. and an Ohio public pension, you will be subject to the Windfall Elimination Provision (WEP).
Yes, you can get S.S. and your public pension. I have worked with public employees for 20+ years and assure you that you will get both if you qualify for S.S. (40 credits or more).
Here's how it works:
Take the amount on your S.S. Statement and apply two rules:
Rule #1 - 50% Max Reduction OR
Rule #2 - Max Reduction from the WEP Chart WEP Chart Here
If you worked < 20 years, the max reduction for 2022 is $512.
Let's look at a couple of examples.
Rick has 10 years or 40 credits and 32 years in OPERS.
S.S. Statement = $750
Retiring Rick | 50% Max Reduction | Max Reduction from the WEP Chart |
Social Security - $750 @ age 67 | $375 | $512 (< 20 years) |
Social Security – WEP Amount | $375 per month | Exceeds 50% of the original benefit so the 50% rule is applied |
Rick will receive $375 dollars per month due to the WEP. He is subject to the 50% rule because a reduction of $512 would represent a 68% reduction. The max is 50%.
Sue's S.S. Statement = $1,500
Sue has 10 years or 40 credits and 30 years in STRS Ohio.
Soon-to-be Retired Sue | 50% Max Reduction | Max Reduction from the WEP Chart |
Social Security - $1500 @ age 67 | $750 | $512 (< 20 years) |
Social Security – WEP Amount | Exceeds 50% of the original benefit so the WEP Chart applies | $988 per month |
Sue will receive $988 dollars per month due to the WEP. She is uses the WEP chart to determine her reduction since the 50% rule EXCEEDS the max reduction on the WEP chart.
Three things to remember:
1) The WEP will never reduce your public pension amount. The WEP applies ONLY to your S.S. Benefit.
2) Your current S.S. Statement does not reflect the WEP amount.
3) The max reduction cannot exceed 50% of your original benefit.