A provision exists that can affect the spousal or survivor benefits received from Social Security if an individual also receives a pension based on government employment where Social Security taxes were not paid. This provision reduces the Social Security benefits by a certain amount. For example, if a retired teacher receives a pension of $1,000 per month from their teaching job, and is also eligible for Social Security spousal benefits, the amount of the Social Security benefit might be reduced.
This measure was enacted to eliminate what was seen as a double dipping of benefits. Before its implementation, individuals could receive a government pension based on non-Social Security covered employment and also receive full Social Security spousal or survivor benefits, essentially receiving more overall than those who only worked in Social Security covered employment. This seeks to ensure a more equitable distribution of retirement benefits.
