Social Security beneficiaries affected by the Windfall Elimination Provision in 2006.
The Windfall Elimination Provision (WEP) is an alternative method of computing benefits for some workers who receive a pension based on work not covered by Social Security. The WEP computation results in a lower benefit than the worker would receive under the regular computation method. This article provides a brief legislative history, describes the WEP computation and applicability, and presents statistical data about beneficiaries affected by the WEP. The statistical data show that, as of the end of December 2006: About 970,000 beneficiaries, mainly retired workers, were affected by the WEP, and the WEP affected the benefits of almost 3 percent of all retired workers. Almost half of the retired workers affected by the WEP received a federal pension, and another 36 percent received either a state or local pension. Sixty-five percent of both retired and disabled workers affected by the WEP were men.
Lingg
Barbara A
BA
Office of Research, Evaluation, and Statistics, Social Security Administration, USA.
D000368:Aged; D000369:Aged, 80 and over; D005260:Female; D006078:Government Programs / Q000191:economics*; D033161:Government Regulation; D006801:Humans; D007182:Income; D008297:Male; D008875:Middle Aged; D010415:Pensions; D012179:Retirement / Q000191:economics*; D012943:Social Security / Q000191:economics*; D014481:United States; D019131:United States Social Security Administration