A man with a surprised expression looks at a red circle containing hundred-dollar bills, with a background of city skyscrapers. — Social Security Has Gotten Serious with Many Retirees | Billion Photos, Getty Images Signature, en.e-noticies.cat

Camara — Social Security Has Gotten Serious with Many Retirees | Billion Photos, Getty Images Signature, en.e-noticies.cat

Millions of Americans in Shock: Beware, Social Security Is Demanding This Money

Social Security Makes a Strong Decision with These Americans After the Major Overpayment Error

30/03/2025 10:05:00h

Miguel Cuartas Ortego

In the United States, the Social Security Administration has begun demanding the return of overpayments from numerous retirees. Some, due to payment errors, received more money than they were entitled to. These payment errors occurred during the Biden Administration, causing concern among pension beneficiaries.

The US Government and the SSA Make a Decision About Overpayments

The SSA is legally obligated to recover any amount overpaid to beneficiaries. Since March 27, the agency has resumed the practice of withholding 100% of monthly benefits until the full overpayment is recovered. This measure reverses a previous policy that limited the withholding to 10% of the beneficiary's monthly payment.

A man in a suit holds a wad of bills in his hand.

The Issue of Overpayments Drags the US from the Previous Government | Grok

The overpayments occurred during the Biden Administration due to errors in benefit calculations. According to data from the SSA, approximately $11.1 billion were overpaid in the last fiscal year. Of which around $1.9 billion resulted from the agency's own errors.

What Happens to These Retirees and What Should They Do If They Receive a Notice From the SSA?

Retirees who received overpayments are receiving notifications from the SSA informing them of the situation and requesting the return of the funds. The withholding of 100% of monthly benefits can create financial difficulties for many.

Especially, it will be challenging for those who rely solely on their pension to cover their basic expenses. If you receive an overpayment notice from the SSA, you have several options:

Repay the Overpayment: If you agree with the determination, you can return the full amount or set up a payment plan.

Montage of two older men, possibly retired and pensioners, sitting on a bench and on the right side a closed wallet

These Retirees Will Have to Listen to the SSA | Getty Images, Elena Photo

Appeal the Decision: If you believe there hasn't been an overpayment or that the amount is incorrect, you can request a reconsideration by submitting form SSA-561-U2.
Request a Waiver: If you believe the overpayment wasn't your fault and you can't return the money, you can request a waiver by completing form SSA-632-BK-SP.

It is crucial to act quickly after receiving the notification, as the SSA expects a response within 30 days. Additionally, the agency offers flexible repayment plans and, in some cases, payments as low as $10 per month.

The situation has caused concern among retirees, who see this measure as an additional burden on their finances. It is essential for those affected to be adequately informed and take the necessary steps to protect their rights and financial well-being.

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