Overpaid Social Security Benefits Could Cost Your Entire Check Starting Later This Month | Global News Avenue

Social Security beneficiaries who benefit from arrears can make all monthly checks in accordance with the new policy update.

The Social Security Agency (SSA) announced late Friday that it will automatically withhold up to 100% of monthly checks for beneficiaries of payments until the full amount is reimbursed or the beneficiaries contact the Social Security Office. Starting March 27, this change will be implemented for overpayments.

Overpayment may occur if the beneficiary reports its situation incorrectly, or if the institution makes a mistake in the calculation. From 2015 to 2022, SSA’s misappropriate payments were nearly $72 billion, less than 1% of the total benefits paid during that period. According to the Office of the Inspector General, most improper payments are overpaid.

Why did the rules change?

The law requires SSA to retrieve unexpectedly paid benefits from the government. decorate SSA says a 100% benefit will save about $7 billion over the next decade.

“We have a great responsibility to be a good steward of the People’s Trust,” said Lee Dudek, acting social security commissioner, in a statement.

This removes a policy from President Joe Biden’s administration that reduces the withholding rate of beneficiaries’ defaults from 100% to 10% of the monthly benefits. Previously, the policy of facing a rebound by retrieving all payment beneficiaries’ checks. According to reports from KFF Health News and Cox Media Group, beneficiaries received tens of thousands of dollars in bills, causing financial stress and sometimes even homelessness.

“If they don’t know they’re paid a high salary and don’t see notices, it could lead to them not getting Social Security payments,” said Shannon Benton, executive director of the Senior Citizens Union. “For some older people, it’s devastating.”

What does this mean to you?

If the beneficiaries receive more social security than they owe, they will be notified by email indicating that they owe a high salary amount. The beneficiary has 30 days to fully repay the amount.

Starting from March 27, if the beneficiary cannot pay the full amount, Their Social Security Benefit Check will be completely withheld until the total amount is repaid unless they contact the Social Security Office to develop a payment plan.

Additionally, if you think overpay is not your fault, you can call for debt waiver. Appeal or exemption is pending, and the resumption of payment is not available.