Social Security policies are leaving older adults confused
The Center on Budget and Policy Priorities says that Social Security has a payment accuracy rate of over 99%, and that only 0.3% of its payments are improper. Still, between 2015 and 2022, Social Security made roughly $72 billion in erroneous payments, according to its Office of the Inspector General.
Meanwhile, Podmanik says her husband received Social Security payments during a five-month period of being out of work due to his illness. But when Ed went back to work, Social Security kept sending him money.
She told News 5 that Ed called the Social Security Administration (SSA) "constantly" to ask why he was continuing to get benefits. They told him he was entitled to the money because of his leukemia.
Now, Social Security is coming after Ruth for an overpayment to Ed of over $69,000.
“Not once did they say anything to me about, ‘Hey, you know you still got an overpayment here?’” Podmanik told News 5.
Despite reaching out to the SSA to resolve the matter, she isn't getting answers. And she's not the only one.
"Every year, we've seen an increase in the volume of people calling and looking for help," Natasha Pietrocola, director of the Division of Senior and Adult Services in Cuyahoga County, told News 5.
She says many older Americans are confused about Social Security overpayments and are worried about the consequences.
Social Security can reclaim its money by withholding benefits from seniors. But, as Pietrocola told News 5, "that’s going to have devastating effects for them to be able to actually afford to live."
Part of the problem stems from a recent SSA change. In March, the agency said it’s looking to recoup overpayments at a rate of 100%. This means that the SSA can withhold 100% of a person's monthly benefits to recover money it’s owed.
The change amends a previous rule where the SSA could only withhold 10% of benefits to recoup overpaid funds. The change is expected to help Social Security recover around $7 billion over the next 10 years.
Social Security later amended its message to limit clawbacks to 50% of benefits.
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Learn MoreHow to cope with changes to your Social Security checks
If you're someone who's collecting Social Security, you may be reliant on that money to cover your expenses.
So, if you get a notice letting you know that your monthly checks are being reduced due to an overpayment, it could have a huge impact on your ability to pay your bills.
If that happens, your first move should be to contact the SSA and ask for an explanation if there’s something about the notice that isn’t clear or you don’t agree with it. If you can't get an answer by phone, you may want to make an appointment at your local Social Security office to speak to a representative in person.
It's also possible to appeal a decision made by the SSA. And if that doesn’t help, you can weigh your options for low-cost legal aid.
It’s also a good idea to create a my Social Security account and monitor it regularly. And be sure to reach out to the SSA if you start receiving smaller benefits or your benefits go missing.
Meanwhile, Podmanik is still trying to get answers from Social Security.
"There's days when I sit here and I cry," she said. "It wasn't my mistake. It wasn’t my husband’s mistake for the overpayment. It was their mistake."
News 5 reached out to the SSA to look into her situation. But for Cuyahoga County residents, further resources for similar situations may be available through the Division of Senior and Adult Services.
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