How to Handle Social Security Disability Overpayments
Category: Disability Law , Social Security
- 07 Oct 2024
- Posted By WebSiteAdmin
Overpayments can happen anytime money changes hands. This is no different when it comes to payments issued by the Social Security Administration. Sometimes, they error and send too much money or a double payment. What should you do if this happens? Please read on to find out.
The overpayment amount is any amount over and above what your normal payments are. If you usually receive $800 but you received $900 instead, then the overpayment amount is $100. The SSA will almost always catch their mistake and send you an overpayment letter. It is important that you address the situation as soon as you receive this letter.
So, what can cause an overpayment? There are many reasons this may occur but here is a list of some of them:
- You are making more money than you anticipated.
- Your living situation changed.
- The status of your marriage changed.
- You are still receiving benefits even though you are no longer disabled.
- You fail to notify a change as required, either on time or not at all.
- Your benefits were improperly tallied by Social Security due to incomplete or inaccurate information.
- An automated error at the SSA.
Earlier this year, the Social Security Administration announced changes to the way overpayments are to be handled. Below, we describe the changes based on how overpayments were handled before compared to how they are handled now.
Before, the SSA would take the entire amount they overpaid out of your next check(s). Now, they take 10% of the amount owed from each payment.
Before, the SSA would ask you to prove that you were not overpaid. Now, the burden is on them to prove they overpaid you.
Before, you had 30 months to repay the full amount of overpayment. Now, you can request an extension up to 60 months to pay back the entire amount.
Before, requesting a waiver to repay overpayments was a much harder process. The SSA has made the process easier for people to apply.
If you believe that the overpayment notice that you received from the SSA is in error, please read this pdf document from the SSA