Social Security Payment Cuts Explained | How To Protect Your Benefits

Thank you for joining us for this
important Social Security update.
Big changes are here as the government
begins withholding up to 50% of monthly
benefits from many recipients to recover
past overpayments.
This new rule could mean much smaller
payments for thousands of seniors
starting this month. Keep watching as we
explain who is affected, how the process
works, and what you can do if your
benefits are reduced.
Starting in August, Social Security
recipients who have been overpaid in the
past will see up to 50% of their monthly
benefits withheld as the Social Security
Administration enforces new recovery
rules announced on July 24th, affecting
both retirement and disability
beneficiaries, but not supplemental
security income recipients who are
covered by separate rules. This change
replaces the previous 10% withholding
policy and follows a 90-day grace period
that ended on July 24th, during which
affected individuals could appeal,
request a waiver, or negotiate a lower
repayment rate. For example, someone
receiving $2,000 per month in retirement
or disability benefits could now see
only $1,000 deposited with the rest
going toward their overpayment debt. And
these reductions will continue until the
full amount owed is repaid.
According to the Social Security
Inspector General, uncollected
overpayments totaled $23 billion by the
end of 2023, a figure that prompted the
agency to take stronger action. Payments
in August will follow the regular
schedule based on birth dates, but those
subject to the new rule should expect
lower deposits. Seniors who rely on
Social Security for essential expenses
like rent, food, and medical care may
face significant financial strain,
especially if they did not act during
the grace period to challenge or adjust
the withholding, making it crucial to
understand the available options and
plan for tighter budgets as these
changes take effect.
With the Social Security Administration
now withholding up to 50% of monthly
payments to recover overpayments
totaling $23 billion, it is crucial to
review your benefit statements and
contact Social Security if you believe
your repayment amount is incorrect or
unaffordable. Consider reaching out to
local assistance programs or advocacy
groups for support in managing reduced
payments and exploring your appeal or
waiver options. For more information,
visit socialsecurityalerts.news.
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