Adrian
Supplemental Security Income (SSI) is a federal assistance program for individuals who are elderly, blind, or disabled with limited income and financial resources.
While these payments are vital for millions of Americans, overpayments do occasionally occur—and when they do, the Social Security Administration (SSA) takes swift action.
This article covers what happens when an overpayment occurs, what causes it, and how recipients can respond.
What Is an SSI Overpayment?
An SSI overpayment occurs when you receive more money than you’re legally entitled to for a given month.
This overpayment is the difference between what you received and what you should have received. Overpayments can happen for several reasons:
- Underreported or unreported income
- Changes in living arrangements
- Changes in marital status
- Medical recovery (for disability cases)
- Receiving unreported resources like inheritance or gifts
What Happens When There Is an Overpayment?
When the SSA identifies an overpayment, it will send a formal written notice. This notice includes:
- The amount of overpayment
- The reason for the overpayment
- Repayment instructions
- A proposed recovery plan
Typically, the repayment period is 30 days from the notice date. If you are still receiving SSI, the SSA will begin withholding part of your monthly payment.
The standard withholding is the lesser of 10% of your monthly SSI check or the full monthly benefit, starting from the month listed in the notice.
Can You Appeal the Overpayment?
Yes. If you disagree with the overpayment—for example, if you believe it was not your fault or the amount is incorrect—you have the right to:
- Request a reconsideration (appeal)
- Ask for a waiver, especially if repaying it would cause hardship
The SSA will review your request and may waive repayment if:
- The overpayment wasn’t your fault
- You can’t afford to repay it
You should follow the instructions in the overpayment notice and respond promptly.
Common Causes of Overpayments
To avoid SSI overpayments, recipients should always keep the SSA informed. Some common triggers for overpayments include:
| Cause of Overpayment | Description |
|---|---|
| Unreported Income | Working or receiving other benefits without notifying the SSA |
| Change in Living Situation | Moving in with someone, institutionalization, or homelessness |
| Change in Marital Status | Getting married or divorced and not reporting it |
| Recovery from Disability | No longer qualifying due to improved medical condition |
| Late or Inaccurate Reporting | Reporting a change after it occurs or providing incorrect information |
What Should You Do If You Receive a Notice?
If you receive an overpayment notice:
- Read it carefully to understand the details.
- Respond within 30 days to avoid automatic withholding.
- Contact SSA immediately if you can’t repay or believe it was issued in error.
- Consider requesting a waiver or filing an appeal if applicable.
Overpayments in the SSI program are a serious matter, but not uncommon. By staying informed about your reporting responsibilities, responding promptly to SSA notices, and knowing your appeal rights, you can reduce the burden and resolve the issue more efficiently.
If handled properly, many overpayments can be waived or adjusted, depending on the circumstances.
FAQs
What happens if I can’t repay the full overpayment amount?
If you cannot afford repayment, the SSA may withhold a small portion of your SSI benefit each month, typically 10%, or you can request a waiver.
How long do I have to appeal an SSI overpayment notice?
You must file your appeal (called a reconsideration) within 60 days of receiving the overpayment notice.
Can an overpayment be forgiven?
Yes, if you can prove the overpayment wasn’t your fault and that repayment would cause financial hardship, you may qualify for a waiver.