CHARLESTON, West Virginia – Retiree advocacy groups are celebrating the recent passage of a bill aimed at phasing out state taxes on Social Security benefits. The new legislation, championed by Governor Jim Justice, proposes a three-year plan to completely eliminate taxes on Social Security income, with an estimated impact of over $37 million.
AARP West Virginia State Director, Gaylene Miller, expressed joy over the decision to gradually remove this financial burden on retirees. The bill outlines a progressive reduction in taxes, starting with a 35% cut in 2024, followed by 65% in 2025, and ultimately reaching 100% in 2026. While the ultimate goal is full elimination, Miller views this phased approach as a significant step in the right direction.
Senator Mike Woelfel, echoing support for the bill, emphasized the importance of protecting retirees’ hard-earned income. He highlighted the historical purpose of Social Security to provide financial security for individuals post-retirement, underscoring the need to stop diverting these funds through state taxes.
Additionally, Dale Lee, President of the West Virginia Education Association, lauded the tax cut as a much-needed relief for retired educators who have faced stagnant incomes and rising costs of living. The phased reduction in Social Security taxes aligns with the long-standing advocacy efforts to support retirees in the education sector.
In addition to the tax relief for retirees, another significant development highlighted by Lee is the passage of a pay raise for educators. House Bill 4883 includes provisions for a 5% salary increase for state workers, benefiting groups like State Police personnel and public school educators. Teachers are set to receive a $2,460 annual raise, while school service personnel will see a $140 monthly increase.
The removal of an economic trigger provision from the pay raise bill on final passage signifies a commitment to honoring these wage increases without contingent conditions. Governor Jim Justice’s commitment to addressing rising costs for educators through tangible salary adjustments has been well-received by the education community, offering much-needed financial stability in the face of economic challenges.