Senator Bill Cassidy introduces legislation that would end the “Windfall Elimination Provision” that penalizes public sector workers like teachers on their Social Security benefits.
The Louisiana State Employees Retirement System backs the change, which would reverse that policy that blocks Social Security from counting income you receive from the state for benefits.
“As a result, Louisiana workers, and workers in 15 other states are penalized far more than they should be for the amount of money they get for working for a state or local government,” says Cassidy.
If passed, the changes would impact social security checks for current retirees. Cassidy says that likely would mean higher social security checks for many retired teachers.
“They get full credit for that, which has been subject to the social security tax. For those who are currently in the system, they will start getting a bonus payment to bring them back to where they should be,” says Cassidy.
Only 16 states have laws that enforce the “Windfall Provision”, Louisiana being one of them. Cassidy says even though it doesn’t impact most of the country, he’s confident it will pass.
“We actually have got to get 60 senators to vote for it because that’s how much you need, and a majority of the House of Representatives, even though only 16 states are affected. We think this bill can actually pass,” says Cassidy.
