‘Got 30 days,’ cries Social Security user who didn’t know he was overpaid $5,235 – now he must use ‘dwindling funds’ | 3O57K48 | 2024-05-11 17:08:01
'Got 30 days,' cries Social Security user who didn't know he was overpaid $5,235 – now he must use 'dwindling funds' | 3O57K48 | 2024-05-11 17:08:01
A SOCIAL Security user has claimed they are being asked to pay back thousands after a supposed overpayment issue.
The frustrated American claimed they were given only one month to come up with the money and send it to the Social Security Administration (SSA).
"I just got a notice giving me only 30 days to pay back $5,235.80," the recipient, James, wrote in a post to a SSA blog on Facebook.
James cried out that he'd be forced to dig into retirement accounts that were already not very liquid to pay.
"I would have to dip into my dwindling IRA funds to get this kind of cash, which would further cause me to get hit with income tax on these funds," he added.
"I don't see an 'effective as of' date anywhere."
Based on James' comments, it would seem that they were never notified beforehand about the overpayments until the $5,235.80 total was reached.
Overpayments can be due to an error from the recipient or the SSA.
If the SSA is responsible for the issue, they will make the recipient aware.
More often than not, the re-payment process can be adjusted to the recipient's needs and periodically taken out through future checks.
This is called an Automatic Overpayment Recovery Rate.
SSA Director Martin O'Malley confirmed in March that the rate would be set at 10% of a recipient's checks until the total overpayment amount was cleared, per a press release.
<!-- End of Brightcove Player --> It was previously 100% of the check distributions until the overpayment was resolved.
There is also a way that James could appeal to the overpayment if he is confident the error was not his fault or if he simply cannot pay the money back.
It's known as the SSA-632 form, and can be accessed through the SSA website.
From there, the form can be downloaded and printed by James and he can take it to a local SSA office to submit it.
<p class="article__content--intro"> Those who cannot afford to pay back the overpayment amounts noted by the SSA or feel they should not have to can file a specific form. </p> </div> </div> Heading to a SSA office is the best way for recipients to get more information and resolve an overpayment issue.
NOT ALONE
A couple in Michigan, who was initially told by the administration they'd have to pay back $37,000 in one month, was able to work with an SSA agent and had their situation reconsidered.
The SSA found they weren't at fault and waived the $37,000 out of "equity and good conscience."
Still, many have been left in a difficult situation over the past year with overpayment problems as SSA recipients.
One person was informed they owed about $4,000 to the SSA because of their late father-in-law.
Another claimed they sold their home after being expected to pay back around $121,000 to the administration in 30 days.
For more related content, check out The U.S. Sun's coverage of a Social Security user who saw a $45,000 overpayment and said they won't be getting any more of their benefits until its paid off.
The U.S. Sun also has the story on a Social Security recipient who insists they had no idea about a $30,000 overpayment.
More >> https://ift.tt/VjmcbO3 Source: MAG NEWS
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