Social Security says it will restart clawing back 100% of overpayments to beneficiaries

[mystery-ak]

Social Security says it will restart clawing back 100% of overpayments to beneficiaries
moneywatch

By Aimee Picchi

Edited By Alain Sherter

Updated on: March 8, 2025 / 7:34 AM EST / CBS News

The Social Security Administration (SSA) said it is reinstating a plan to recover 100% of overpayments to beneficiaries, a policy the agency abandoned last year after an outcry over cases in which the practice led some Americans to receive shock bills amounting to thousands of dollars. 

In a statement, SSA said late Friday that it will increase the default overpayment withholding rate for Social Security recipients to 100% of a person's monthly benefit, the same level that it had in place before last year's reform. The agency is required by law to claw back overpaid benefits.

Because of public backlash over the 100% recovery policy, the agency last year had capped the withholding rate for someone who had been overpaid at 10% of the person's monthly benefit. On Friday, the SSA said it will start claiming 100% of benefit checks to cover new cases of overpayments, while the withholding rate for people with overpayments before March 27 will remain at 10%, as will the rate for overpayments for Supplemental Security Income, a program for low-income seniors and disabled Americans.

"People who are overpaid after March 27 will automatically be placed in full recovery at a rate of 100% of the Social Security payment," the agency said.

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https://www.cbsnews.com/news/social-security-overpayment-100-percent-trump/

[DB]

Why where they "overpaid"?

If it is the government's error, then it should be capped on how far back it goes if the error went on for many years.

If it is an error that the person honestly made and the government should have caught in a reasonable amount of time then after that reasonable amount of time it's on government.

If it was fraud, that's entirely something else. Go after them hard.

[bilo]

Why don't we just start with everyone over 115 years old getting cut off till they prove they are living. After dealing with that group lets look at everyone who is between 100-115. Providing proof of life isn't that hard, either go to the office with ID, or if the person is in a nursing home provide a signed affidavit co-signed by a registered nurse or doctor. It shouldn't be hard to check with professional registration to see if the co-signer exists and works there.

[libertybele]

Why where they "overpaid"?

If it is the government's error, then it should be capped on how far back it goes if the error went on for many years.

If it is an error that the person honestly made and the government should have caught in a reasonable amount of time then after that reasonable amount of time it's on government.

If it was fraud, that's entirely something else. Go after them hard.

Honest mistake when you're receiving SS $$ for someone that's been dead?  No. That is fraud!  Especially if they've been dead for many years. 

If you're name is Jim Johnson and your receiving SS $$ and SS $$ for Tim Smith is also being deposited into your account; how do you not notice? 

If your spouse dies, or if you have a joint account with your father or mother and they die -- you know that they've died and you know that you shouldn't be receiving SS$$.  Sure, it's a SS mistake, but only because you didn't notify SS that there was a death.

[corbe]

   Good luck garnishing their wages after you've deported them.   

[DB]

Honest mistake when you're collecting SS for someone that's been dead for many years?  No. That is fraud!  If people were to receive a payment for another couple hundred or a thousand $$ from SS,  I think they'd notice.  SS should have been contacted and the error corrected. 

That's no different than getting a bank statement or going on-line and seeing your balance was larger than expected.  Likely you'd figure out why in a short period of time.

If you got $15 more a month that you were technically not entitled to but you didn't know it and that went on for 20 years it could be pretty devastating to have to pay it all back. For example your tax payments back in the 80's had an error in it that you didn't know about. Lots of possibilities.

[libertybele]

If you got $15 more a month that you were technically not entitled to but you didn't know it and that went on for 20 years it could be pretty devastating to have to pay it all back. For example your tax payments back in the 80's had an error in it that you didn't know about. Lots of possibilities.

Ok, that's an honest mistake much different than receiving funds for a different person into your account. If all of a sudden my account was several hundred dollars more than I thought I had -- I'd be figuring out why.  SS money is normally direct deposited and you would know if you were receiving more than one SS deposit in a month.

[libertybele]

   Good luck garnishing their wages after you've deported them.   

Once they're deported the fraud stops.

[Smokin Joe]

Why don't we just start with everyone over 115 years old getting cut off till they prove they are living. After dealing with that group lets look at everyone who is between 100-115. Providing proof of life isn't that hard, either go to the office with ID, or if the person is in a nursing home provide a signed affidavit co-signed by a registered nurse or doctor. It shouldn't be hard to check with professional registration to see if the co-signer exists and works there.

All nice if you have an office. For some over 100, it would be a real chore to show up at the nearest Social Security Office to me, 130 miles away.

[libertybele]

All nice if you have an office. For some over 100, it would be a real chore to show up at the nearest Social Security Office to me, 130 miles away.

Definitely agree.  How many people even 90 years of age can still drive or are completely mobile and not dependent on a walker, wheelchair, cane, etc.?

I was thinking of some sort of letter being sent to the recipients over 80 receiving SS verifying eligibility and a signed document needing to be returned in a pre-paid envelope in order for SS to continue.  The letter would state something to the affect that anyone that signs the document who is not eligible is committing fraud, punishable by $5,000.00 and/or 5 years in prison.

Only problem is there are some people who are in their 80's who can't see to read, in nursing homes, etc., then it would be up to the nursing home facility administrator.

If SS gets no response, then they need to have local law enforcement do a wellness check.