Windfall Elimination Provision
Definition
The Windfall Elimination Provision (WEP) is a rule that reduces the Social Security benefit of workers who receive a pension from a job not covered by Social Security, such as certain government or foreign employer jobs.
More Detail
The WEP affects the formula used to calculate your PIA, reducing the percentage applied to the lower portion of your AIME. The reduction is limited — it cannot reduce your benefit by more than half of your pension from non-covered work. Workers with 30 or more years of substantial Social Security-covered earnings are not affected by WEP. The WEP was significantly modified by federal legislation signed in 2025, which eliminated the provision for most affected workers.
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