Social Security recipients have received letters suggesting they owe hundreds of dollars because they were overpaid. Beneficiaries told Newsweek that some were requested to return $67,000 over 30 days or submit a partial refund with a letter explaining their situation.
A couple were confused about the overpayment they owe to Social Security (Source: Yahoo! News)
Overpayment to the Recipients of Social Security
The Recipients can appeal for refunds. The Social Security Administration’s inspector general said that the agency recouped $4.7 billion of overpayments the previous fiscal year, but $21.6 billion remained. According to a Social Security Administration spokesman, the agency is constantly working to improve program stewardship and decrease illegal payments. While workforce cuts and limited resources have affected service delivery, payment accuracy remains high. The letters affect disabled people, Supplemental Security Income recipients, and Social Security recipients. According to the Social Security Administration, 70-year-old retirees can receive $4,555 each month. Personal SSI recipients receive up to $914 per month. Overpayments might persist for years.
One unnamed person said the administration discovered she was overpaid after seven years. Another woman said she told the SSA she was returning to work after being disabled, but she received a letter seeking $27,000. “They kept telling me I didn’t need to do anything. I received documents asking about my return to work and salary but nothing worked. They kept sending me monies and doubled them “explained the woman. The woman believes that those affected by overpayments have done nothing wrong; why didn’t the Social Security Administration have procedures in place to help detect if payments needed to be modified before admitting they don’t have enough staff? It is not acceptable that many other citizens are now being forced to repay what the SSA admits was a mistake.
The administration can recover funds by lowering debtors’ monthly payments. The Social Security Administration reports that 66 million residents receive benefits as of June 2022, and the money can cover virtually all of their expenses. Social Security payouts could drop in 2034 unless Congress acts to stop it. Due to rising pensioners and declining employees, analysts project that the Social Security Administration will no longer be able to give full payouts by 2034. Restructuring Social Security payments would not affect current beneficiaries.
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