Washington, D.C. – Senate Finance Committee Chair Ron Wyden (D-Ore.) said today he has introduced bipartisan legislation that would protect the Social Security benefits of Americans who have been held hostage or wrongfully detained abroad.
On August 1, several Americans were released from Russian detention as part of a historic prisoner exchange. These individuals now face several financial obstacles resulting from their captivity, including diminished Social Security benefits when they reach retirement. Because they may not have paid taxes while in captivity, their average indexed monthly earnings, which determines Social Security benefits, may have significantly diminished.
The Retirement Security for American Hostages Act would amend the Social Security Administration’s calculation of Social Security benefits for individuals identified as wrongful detainees and hostages by the Department of State and the Department of Justice. The bill would require the Social Security Administration to assume “deemed wages” equal to the national average for each month a former hostage or detainee was detained when calculating their AIME.
“Americans who were held hostage shouldn’t be hurt by a retirement system that doesn’t account for the injustice and hardship they faced,” Wyden said. “This bipartisan bill will ensure that people who were wrongfully detained overseas are not penalized after they make it home. They deserve to live freely without being deprived of their earned Social Security benefits.”
In addition to Wyden, the Retirement Security for American Hostages Act is led by Senators Chris Coons (D-Del.) and Bill Cassidy, M.D. (R-La.). Senators Tim Kaine (D-Va.) and Senate Appropriations Committee Ranking Member Susan Collins (R-Maine) are cosponsors of the legislation.
“I am delighted to see the introduction of the Retirement Security for American Hostages Act and am grateful for the ongoing efforts of Senator Coons and Senator Cassidy to address the collateral damage brought to bear on innocent Americans victimized by hostile foreign nations via hostage diplomacy,” said Elizabeth Whelan, sister of U.S. Marine Corps veteran and former wrongful detainee Paul Whelan. “Without this act, released Americans will suffer needlessly in the years ahead. Their ordeal will never end, and in addition to any other struggles, they will bear a financial burden for another country’s wrongdoing. I hope that Congress will pass the Retirement Security for American Hostages Act. It is a simple and straightforward concept with an enormous positive impact on the lives of those who have already suffered so much.”
“The lives of Americans held hostage or wrongfully detained are forever altered in damaging ways that can continue upon their release and return home,” said Diane Foley, President of the James W. Foley Legacy Foundation. “This bill provides an important measure of relief to reduce the burdens faced by those who are lucky enough to be freed.”
“Hostage US endorses the Retirement Security for American Hostages Act as it addresses a critical and often overlooked hardship faced by former hostages and wrongful detainees,” said Liz Cathcart, Executive Director of Hostage US. “As the leading organization providing reintegration support and resources to former captives, we see firsthand the long-term impact captivity has on individuals and their loved ones. By ensuring that time spent in captivity doesn’t lead to reduced Social Security benefits, this legislation provides essential support for Americans who have already endured so much. It is a necessary step toward giving former hostages the confidence they need to reintegrate and ensuring the security they deserve in retirement.”
The legislation is endorsed by the Bring Our Families Home Campaign, James W. Foley Legacy Foundation, and Hostage US.
A one-page summary is here.
The full text of the bill is here.