Pensions are one of the major concerns of citizens around the world. From retirement, permanent disability or even in the tragic reality of receiving a widow’s benefit for the death of a spouse. Therefore, these retributions granted by the State are, without a doubt, one of the main reasons for society to pay taxes and enjoy an income that balances its purchasing power with increases in goods and services.
Therefore, in the matter of the United States, despite hopes that a funding agreement would materialize, the federal government is on the verge of shutting down after President Donald Trump and other Republicans in Congress spoke out against this proposal. In this sense, the American society itself assures that, in the scenario that this Executive shutdown occurs, it would derive in serious consequences throughout the country, harming working families, endangering national security and the U.S. economy, an engine for the rest of the world.
Therefore, in the event of a government shutdown before the end of 2024, it is to be expected that some vital services would be maintained, while others would stagnate. However, according to government sources, this important and drastic decision will be postponed until March 14, when everything indicates that the likely government shutdown will be discussed.
Will I continue to receive my pension?
The Social Security Administration has plans in place to guarantee and satisfy pensioners that they will be able to continue to receive their income and benefits according to their claim, even if there is an eventual government shutdown. Therefore, this policy applies to Social Security benefits, as well as Supplemental Security Income and Social Security Disability Insurance, all of which are legislatively protected.
However, there may be delays in other Social Security services, such as the issuance of new Social Security cards and appointments to apply for certain benefits, as well as responses to customer service requests. Similarly, other services will be completely halted, such as benefit verifications and overpayment processing. Thus, current beneficiaries of Medicare, Medicaid and disability insurance services will continue to receive their benefits assuming the shutdown lasts less than three months, according to Virginia Representative Jennifer Wexton’s office.
Military and federal employees
All sectors of the population are concerned about the hypothetical scenario of the U.S. government shutdown, according to the position of President-elect Donald Trump and Republican groups. Among these groups are the military and federal employees, who are also debating whether or not their pensions will be affected during this period.
Therefore, according to official sources, when the government shuts down, federal agencies must classify their employees whose salaries have expired as ‘excepted’ or ‘non-excepted‘. Employees classified within the first group work without pay during the shutdown; on the other hand, ‘non-excepted’ employees are placed on leave without pay. In this regard, the Government Employees Fair Treatment Act ensures that furloughed government employees receive back pay once the shutdown ends. However, affected federal contractors are not guaranteed back pay. Finally, it follows that feds will continue to receive their retirement benefits. The processing of new applications or other requested changes, on the other hand, will be delayed.
