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Showing Original Post only (View all)Social Security says it will restart clawing back 100% of overpayments to beneficiaries [View all]
Source: CBS News
Updated on: March 7, 2025 / 7:14 PM EST
The Social Security Administration (SSA) said it is reinstating a plan to recover 100% of overpayments to beneficiaries, a policy the agency had 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.
The 100% clawback policy had sparked an outcry after instances in which beneficiaries were hit with surprise bills that demanded repayment within 30 days. In some cases, the bills were for tens of thousands of dollars. If beneficiaries were unable to immediately pay the bill, the agency could dock their entire monthly Social Security payment, leaving some people financially destitute, as reported by "60 Minutes," KFF Health News and other media outlets,
Read more: https://www.cbsnews.com/news/social-security-overpayment-100-percent-trump/
While the populace was gawking at the musical chairs tariffs that the media was promoting, THIS was going on "in the background". None of the M$M sources that I keep in tabs had this featured on their main pages last evening and apparently this was purportedly in CBS's "business" (MoneyWatch) section... somewhere...
WHY would that be in "MoneyWatch" and NOT on the CBS News front page?
