Social Security to Reinstate Overpayment Recovery Rate
Reading Time: 2 MinutesLast Updated: March 7, 2025
The Social Security Administration (SSA) announced it will increase the default overpayment withholding rate for Social Security beneficiaries to 100 percent of a person’s monthly benefit. The Office of the Chief Actuary estimates this change will result in an increase in overpayment recoveries (i.e., a program savings) of about $7 billion in the next decade.
“We have the significant responsibility to be good stewards of the trust funds for the American people,” said Lee Dudek, Acting Commissioner of Social Security. “It is our duty to revise the overpayment repayment policy back to full withholding, as it was during the Obama administration and first Trump administration, to properly safeguard taxpayer funds.”
The agency strives to pay the right person the right amount at the right time, and issues correct payments to most beneficiaries. When an overpayment does occur, the agency is required by law to seek repayment.
As of March 27, the agency will begin mailing notices about the new 100 percent withholding rate, rather than the recent adjustment of just 10 percent. The withholding rate change applies to new overpayments related to Social Security benefits. The withholding rate for current beneficiaries with an overpayment before March 27 will not change and no action is required. The withholding rate for Supplemental Security Income overpayments remains 10 percent.
People who are overpaid after March 27 will automatically be placed in full recovery at a rate of 100 percent of the Social Security payment. If someone cannot afford full recovery of their overpayment, they can contact Social Security at 1-800-772-1213 or their local office to request a lower rate of recovery.
Additionally, people have the right to appeal the overpayment decision or the amount. They can ask Social Security to waive collection of the overpayment, if they believe it was not their fault and can’t afford to pay it back. The agency does not pursue recoveries while an initial appeal or waiver is pending.
For more information about overpayments and appeal rights, visit www.ssa.gov.
Did you find this Information helpful?
Tags: General Information, social security
See CommentsAbout the Author
Social Security Administration
Social Security Administration
Comments
Leave a Comment
Please review our Comment Policy before leaving a comment. For your safety, please do not post Personally Identifiable Information (such as your Social Security Number, address, phone number, email address, bank account number, or birthdate) on our blog.
William B.
How could people be overpaid? How does this happen? How will I know if I was overpaid and when will I know?
Carolyn D.
Social security is not enough to survive. Paying back what we have already paid for is unfair. Social security is at the poverty level. Stop robbing us of what we deserve.
Tina M.
A 60 Minutes segment in November 2023 highlighted the Social Security Administration’s (SSA) clawback practices and how they affect people who are disabled or blind. Most ERRORS were the mistake of SSA themselves.
Please be Very Careful with our handicapped people who only got money that was by MISTAKE OF THE SSA, not their own. They can’t go with 0.00 a month while you Claw Back. Sincere thanks. It doesn’t explain any of that in the Press Release. Is that a Consideration?
Sam w.
God help us. God help the United States. We’ve lost our feelings for the poor, elderly and disabled.
Melanie
I have to agree with you. Wrong issue to pursue other than removing immigrants or blatant fraud of course. So wrong to attack the poor and disabled who can’t fight back for themselves. My heart is so sad right now. Americans are suffering enough right now.
Linda S.
Too many blogs. Return to one or two a week please. This is getting to be intrusive.
Katie
This is Dudek’s (the acting head of SSA) way of sucking up to Trump. Every SINGLE DAY. Look at me, dear leader! I’m following you and Elon blindly. Look it up and see how he got the job in the first place.
Michelle H.
They don’t wait to take money out with an appeal is in file. I know this from experience I appealed an overpayment. And they received my appeal on May 2024 and started taking money out in August 2024 without giving me a decision on my appeal.
Michael K.
When will Social Security complete an audit of overpayments and prosecute people that received illegal payments, such as people over 100 years old and beyond?
Michael H.
Read & understood
Joshua S.
When will we stop focusing on the people who benefit from these programs who don’t even make enough to live off of to begin with, and actually take a look at the massive amounts of actual abuse coming from the billionaires? 🤔
Linda S.
Amen
Sam w.
You’re 100% speaking the truth
Susan L.
I completely agree with you!
Luigi
I’m with you 💯
B H.
yes 100%
Mark C.
I have been trying to find out how much overpayment do I have that for years now overpayment is being withdrawn but no one will return my calls. Do overpayments continue to be withdrawn for the rest of my life? What causes this overpayment and why?
Gene
99,9% of the overpayments are people who don’t pay FICA and try and cheat America by hiding their non-covered pension and double dipping. True traitors to America. They need to pay FICA like Americans do.
Kimberly
Your so wrong. What about the people who are disabled could never work. I guess all the blind people cheated also. Not reporting their FICA
Nancy M.
Musk, Trump and all the other billionaires are the traitors. NONE of them pay the taxes they owe and the hammer comes down on grandma living on $1,200 per month.
Jazz
Sorry but both people you named do pay taxes. They both own businesses and hire other people to file their taxes bc most business owners pay quarterly but that has nothing to do with this conversation. The overpay overpayment repayments have been taking places for years (you can check Google) or IF YOU RECEIVE A LETTER call SSA.
If you really want to do research on this matter go to Congress.gov and READ ALL THE INFORMATION, if u dont receive a letter…. BE THANKFUL #ResearchIsKey