General
Effective January 1, 2024, any "Public Service Pension" (PSP) payable to you may have an effect on the amount of your spouse annuity Tier I component or your divorced spouse annuity. A PSP is retirement pay you receive for public service employment. This may either be monthly payments or a lump-sum payment. It may be administered by a government agency or a private insurance company.
Public service means service performed for the Federal Government of the United States, a State government, or any political subdivision of a State, such as a city, county, town, township, village, school or sanitation district. The definition of State includes the 50 states, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, Guam, and American Samoa.
The Social Security Fairness Act was signed into law on January 5, 2025. The law ended statutory reductions for RRA spouse/divorced spouses who are receiving public pensions from work not covered by social security. If you are currently entitled to, or will be entitled to a Publich Service Pension (or lump-sum payment that is more that just a refund of your own contribution to the pension fund), there will not be an offset in your annuity effective January 1, 2024.