Will a Survivor Government Pension Affect Social Security Benefits?

I believe that I am WAY overthinking this, but I have a situation where a client (John) is collecting a government pension of $90k/annual – no SS benefits, a government job his whole life.  Hi spouse (Jane) worked and is collecting SS of $2,300/month. There is a survivor benefit payout of 60% for the government pension to the Jane when John passes. If John passes, will Jane continue her $2,300 from SS, and roughly $4500 from the pension?  No reduction in her benefits from SSA?

You're correct in your assessment of this situation. Jane's Social Security benefits will not be affected by John's government pension or the survivor benefit from that pension. Here's how it works:

1. Jane’s Social Security Benefits:

   • Jane is currently receiving $2,300 per month from Social Security based on her own work record. This amount will continue regardless of what happens with John's government pension.

2. Survivor Benefit from John’s Pension:

   • When John passes, Jane will be entitled to a 60% survivor benefit from his government pension, which equates to approximately $4,500 per month.

3. Impact on Social Security Benefits:

   • Since Jane did not work for the government and her Social Security benefit is based on her own work record, there is no Government Pension Offset (GPO) or Windfall Elimination Provision (WEP) that applies in this case.
   • Therefore, Jane will continue to receive her $2,300 per month in Social Security benefits, in addition to the $4,500 per month from John’s pension.

In summary, after John's passing, Jane will continue to receive her full Social Security benefit of $2,300 per month without any reduction. Additionally, she will receive approximately $4,500 per month as a survivor benefit from John's government pension. There will be no reductions or offsets applied to her Social Security benefits due to the survivor pension.