SSA To Withhold 100% Of Benefit To Recover Outstanding Overpayments

Payments won’t resume until the scheduled benefits match the overpayment amount.

A major change regarding the Social Security Administration kicks off Thursday.

The clawback rate set by President Biden was 10%. But starting Thursday, the SSA will start to withhold 100% of a person’s monthly benefit to recover any outstanding overpayment amount.

The acting Commissioner of Social Security said it is the agency’s duty to “revise the overpayment repayment policy back to full withholding to properly safeguard tax-payer funds.”

Payments won’t resume until the scheduled benefits match the overpayment amount.

In addition, the SSA is cracking down on potential fraud.

It is requiring applicants who can’t verify their identities online, to visit a field office to complete the claim in person.

Currently, people can apply over the phone. The new policy will go into effect on April 14.