Benefits Planner: Retirement 


What is Government Pension Offset (GPO)? 
If you will receive a pension for work not covered by Social Security such as government employment , any Social Security benefits you may be eligible to receive on your spouse's record may be reduced. This type of benefit reduction is called GPO. Some individuals are exempt from the offset. If you want to know if you meet the requirements for an exemption , please read the " When won't my Social Security benefits be reduced? " section of our " Government Pension Offset " factsheet. 

Information You Need to Calculate Your Benefits If You Are Affected by the GPO 
To estimate your future spouse's, widow's, or widower's benefits under the GPO , you need two things : The estimated " gross " monthly amount of your pension from your government job not covered by Social Security. The estimated monthly amount of your Social Security benefit as a spouse, widow, or widower before the effect of GPO. 

If you will be eligible for spouse's benefits and have access to your spouse's estimate: 
Find the estimated amount of the retirement benefit your spouse would be eligible to receive at full retirement age. If your spouse already receives benefits , ask them what their benefit would be if it started at their full or normal retirement age. Divide this amount in half and round down to the nearest dollar. This is your estimated spouse's benefit if you retire at full retirement age. 

If you will be eligible for a Social Security retirement benefit based on your own earnings: 
As well as a higher benefit based on your spouse's earnings , it will also affect your benefits as a spouse, widow, or widower. To get a more accurate estimate of how the government pension you will receive for work not covered by Social Security will affect the part of your benefit based on your spouse's work : Enter the estimated " gross " monthly amount of the government pension in today's dollars you will receive for work not cover

user: Hello. I want to ask some things about retirement benefits.

assistant: Well, there is the GPO option, is that what you're looking for?

user: Yes, that's the one i need info about.

assistant: Good, Are you going to receive a pension for a work not covered by Social Security then?

user: Yeah, i will.

assistant: Very well. Then, if you're going to receive that pension, under GPO the benefits you may be eligible to receive from your spouse record may get to be reduced.

user: I see. Can you tell me if that applies equally in case i retire before full retirement age?

assistant: That would be correct. If you happen to retire before full age of retirement, then your benefit amount as a spouse get reduced. Of course, it has to do with your age, and in that regard, maximum reduction can hit 30 percent, at age of 62.

user: Umm seems a little complicated. What can i do if i need more information?

assistant: You can call to any of our free toll numbers or yo can contact your nearest Social Security ofiice, for more information.

user: Ok, i'll do that. Now, what can i do if in any case, i don't have access to my spouse estimates or records?

assistant: As with the question before this, you better call to our toll free numbers or go to your nearest SS office.

user: Ok last question. Is there anything that could affect my benefits as spouse?

assistant: Well, if you has a bigger benefit based on your spouse earnings, that will have an effect on your benefits as spouse.