Federal employees can receive both a pension and Social Security, but the amount you get from Social Security may be reduced depending on when you retired and which retirement system you were under

If you worked for the federal government, you are covered by one of two retirement systems: the Civil Service Retirement System (CSRS) or the Federal Employees Retirement System (FERS). Which one you were in determines whether Social Security reductions explore to your benefits.

CSRS employees who did not pay Social Security taxes during their federal service face the largest reduction. FERS employees, hired after 1983, paid Social Security taxes throughout their career and typically receive their full Social Security benefit alongside their pension. The reduction rules are specific and depend on your birth year and retirement date, so understanding which system covered you matters.

Key Takeaways

  • CSRS employees hired before 1984 may have their Social Security reduced by the Windfall Elimination Provision (WEP) if they did not pay Social Security taxes during federal work.
  • FERS employees, hired after 1983, paid Social Security taxes and usually receive their full Social Security benefit with no reduction.
  • The Government Pension Offset (GPO) can reduce or eliminate a spouse's or survivor's Social Security benefit if you receive a federal pension, regardless of which system you were under.
  • Your birth year determines how much WEP reduces your Social Security — those born in 1954 or later face a smaller maximum reduction than earlier retirees.
  • You can contact the Social Security Administration to see a benefit estimate that accounts for any reductions before you claim.

How CSRS and the Windfall Elimination Provision work together

If you were a CSRS employee, you did not pay Social Security taxes on your federal salary. This means you have a "non-covered" period of earnings — years when you earned money but did not contribute to Social Security. The Windfall Elimination Provision (WEP) reduces your Social Security benefit to account for this gap.

The WEP reduction is not a flat amount. Instead, it changes your benefit calculation. Normally, Social Security replaces a higher percentage of your early earnings and a lower percentage of later earnings. WEP applies a lower percentage to all your earnings, which typically reduces your benefit by 25 to 50 percent. The exact reduction depends on your birth year and how many years you had non-covered earnings.

If you were born in 1954 or later, the maximum WEP reduction is $895 per month (as of 2024, though this amount changes yearly). If you were born before 1954, the reduction can be higher. You still receive both your CSRS pension and a reduced Social Security benefit — you do not lose Social Security entirely.

Why FERS employees usually avoid Social Security reductions

FERS was created in 1984 specifically to align federal retirement with Social Security. FERS employees pay Social Security taxes on their federal salary, just as private-sector workers do. Because you contributed to Social Security throughout your career, the WEP does not explore to you.

This means your Social Security benefit is calculated the same way as anyone else's, based on your full earnings record. You receive your FERS pension and your full Social Security benefit with no reduction. If you also worked in the private sector or for a state or local government, those earnings count toward your Social Security as well.

The trade-off is that FERS employees receive a smaller pension than CSRS employees did. FERS pensions are typically about 1 percent of your high-3 average salary for each year of service, while CSRS pensions were about 2 percent per year. The combination of a FERS pension plus full Social Security is meant to provide comparable retirement income overall.

The Government Pension Offset and family benefits

Even if you are not affected by WEP, the Government Pension Offset (GPO) may reduce benefits paid to your spouse or children based on your federal pension. The GPO applies to both CSRS and FERS retirees.

If you receive a federal pension and your spouse or ex-spouse is may have access to to a Social Security benefit based on your work record, their benefit is reduced by two-thirds of your federal pension amount. For example, if your FERS or CSRS pension is $1,500 per month, your spouse's benefit would be reduced by $1,000. This can reduce their benefit to zero if the pension is large enough.

The GPO also affects survivor benefits. If you die, your children or surviving spouse may receive reduced benefits based on your federal pension. This rule applies regardless of which retirement system you were under, so it affects nearly all federal employees with family members who might claim on their record.

How to find out which retirement system covered you

Your federal agency or your pension statement will tell you whether you were covered by CSRS or FERS. If you left federal service, you can contact the Office of Personnel Management (OPM) at 1-888-767-6738 or visit opm.gov to request a copy of your retirement records. Your pension statement should clearly state which system you were under.

If you are unsure, you can also call the Social Security Administration at 1-800-772-1213 and ask them to review your earnings record. They can tell you whether you have non-covered earnings and estimate how much WEP might reduce your benefit. This is a free service and does not require you to claim benefits yet.

Estimating your combined federal pension and Social Security income

To get a realistic picture of your retirement income, you need estimates from both sources. Your OPM pension statement shows your expected CSRS or FERS pension. The Social Security Administration provides a benefit estimate that accounts for WEP or other reductions.

You can create a my Social Security account at ssa.gov to view your earnings record and get a benefit estimate online. This estimate will show you the reduction from WEP if you are a CSRS employee. For FERS employees, the estimate should show your full benefit with no reduction. If the estimate looks wrong, you can contact Social Security to correct your earnings record.

Keep in mind that these are estimates based on current law. Congress can change Social Security or federal pension rules, though changes to existing retirees' benefits are rare. Your actual benefit will depend on when you claim Social Security — claiming at 62 gives you a smaller monthly amount than waiting until 67 or 70.

What happens if you worked for multiple employers

If you worked for the federal government, a state or local government, and a private employer, your Social Security benefit may be affected by rules beyond WEP. The Government Windfall Elimination Provision applies only to non-covered earnings, but if you have earnings from multiple sources, Social Security calculates your benefit using all of them.

For example, if you were a CSRS employee for 20 years and then worked in the private sector for 15 years, your private-sector earnings count toward Social Security. Your benefit is reduced by WEP because of the non-covered CSRS years, but the private-sector earnings help offset that reduction. The Social Security Administration will factor in all your earnings when they calculate your benefit.

If you worked for a state or local government that did not participate in Social Security, you may also be subject to the Government Pension Offset if you claim a spouse's or survivor's benefit. The rules are complex when you have multiple pensions, so asking Social Security to review your full work history before you claim is worth the time.

Frequently Asked Questions

Can I get my full Social Security if I was a CSRS employee?

No, if you were a CSRS employee and did not pay Social Security taxes on your federal salary, the Windfall Elimination Provision will reduce your Social Security benefit. The reduction ranges from 25 to 50 percent depending on your birth year and non-covered earnings. You still receive both your CSRS pension and a reduced Social Security benefit.

Do I lose my federal pension if I claim Social Security?

No. You receive both your federal pension and your Social Security benefit. They are separate payments from different systems. Your pension is not affected by when you claim Social Security or how much you receive.

Will my spouse lose benefits because of my federal pension?

Possibly. The Government Pension Offset reduces your spouse's Social Security benefit by two-thirds of your federal pension amount. If your pension is large, this can reduce their benefit to zero. This applies to both CSRS and FERS retirees.

What if I worked for the federal government and a private company?

Your Social Security benefit is based on all your earnings, including both federal and private-sector work. If you were a CSRS employee, WEP still applies because of your non-covered federal earnings, but your private-sector earnings help reduce the overall impact. Contact Social Security to see an estimate that includes all your work history.

How do I know if WEP will reduce my benefit?

You can create a my Social Security account at ssa.gov to see your earnings record and get a benefit estimate. If you have non-covered earnings from federal employment, the estimate will show the WEP reduction. You can also call Social Security at 1-800-772-1213 to ask about your specific situation.