No one likes to receive notices from the Social Security Administration (SSA) indicating that they must repay money… It can be disconcerting and a little upsetting. But, keep in mind that Social Security is vital and necessary for millions of beneficiaries of this project.
Don’t worry, that, first of all, because this type of payment is much more common than you think, and it is important that you know the difference between a simple procedure and a more important problem. If you have received the notification here we are going to tell you how to handle everything effectively.
Why do these “overpayments” occur?
There are several reasons that can lead the Administration to send this report, but the SSA points out that anyone who has received an amount greater than what corresponds to them is fully obliged to return the excess. Now, we are going to tell you about the most common ones. It usually occurs due to calculation errors,
- You have changed your marital status (with a marriage or a divorce), so this change could cause the amount of taxes you would have to pay.
- You have found a job in which your income is higher (or lower). It is important that you notify this because you could be receiving the wrong amount.
- If you have moved or there have been changes in your housing
- Your work capacity has changed (that is, you have been notified of a disability, incapacity or illness that prevents you from doing the work you were doing until then).
These errors do not always have to be the responsibility of the beneficiary, but it is mandatory that the excess be returned. In some cases, as explained by the SSA, the overpayment is due to delays in updating benefits.
When do I have to repay the payment?
Once the SSA detects an overpayment, they issue an official notice by mail. This document, which will arrive at the address of the individual in question, includes the amount owed, the reasons for the overpayment, and instructions for making the repayment. After that, the dates are clear:
- You have 30 calendar days from the date on which the letter is issued (be careful, not the date on which it arrives to you!). This period consists of 5 more days (that is, 35 in total) in case there are problems with the postal delivery.
- In the event that the beneficiary does not make the payment within this period, the SSA could take action and deduct the amount owed from future payments that the beneficiary has.
What can you do if you can’t pay back the money?
There are many situations in which the return of the money can be somewhat complicated (for example, due to major financial problems), so there are two alternatives that you can take into account:
- The first is reconsideration, only in the case that this overpayment is not correct or you should not be responsible for the return. In that case, you can request a detailed review of your case.
- The second option is exemption, this means that, if the refund causes a serious economic hardship in your case, you will have to fill out a form and provide the relevant evidence that justifies your situation. At that time, the SSA will evaluate your case individually and make the decision to eliminate the refund partially or totally.
Options for repaying payments
There are three ways the SSA makes it easier for you to repay these payments:
- Through online repayment (the details will appear on the notification)
- Through a monthly payment in case you cannot repay the entire amount at once
- Through personalized assistance you can get more information from the SSA.