Once you are approved for Social Security Disability Insurance (SSDI) benefits, a lot of your financial problems may be alleviated. However, this might not be the end of your problems. Unfortunately, the Social Security Administration (SSA) sometimes makes mistakes and pays recipients too much. If this happens, you may be required to return the excess amount. If this poses a serious financial hardship, you should speak to an attorney.
You should alert the SSA to the overpayment right away. If the overpayment is somewhat small, you might be able to simply return it and be done with it. If it is too significant to repay, or it was not your fault, you should contact an attorney for help. Many people receive regular overpayments because of an error, and they might not realize the mistake for a while. By that point, the amount you have been overpaid might be more than you can afford to repay. A lawyer can help you set up a payment arrangement, apply for a waiver, or appeal the overpayment notice.
Get help with your overpayment situation by calling our Arkansas disability benefits lawyers at (479) 316-0438.
What to Do if You Receive SSDI Overpayments
An overpayment may occur when an SSDI recipient receives one or more benefit payments that are too large. This might happen once, or it might happen with each benefit payment you receive. In some cases, the overpayment is small, maybe only a few dollars, and recipients might not even notice. In others, the overpayment is much larger and may require immediate action.
If you notice an overpayment, you should alert the SSA as soon as possible. Even if the overpayment is very small, contact the SSA and report it. The SSA will likely request a repayment, and you may be able to do this online. If the overpayment was minimal, this might not be a big problem.
If the overpayment is quite large, you should call a lawyer for help. Some overpayments occur in small increments over a long time, and you might not realize it until you suddenly owe the SSA a huge sum of money. Our Arkansas disability benefits lawyers may be able to help you work out a payment plan or try to avoid repayment.
How to Repay SSDI Overpayments in Arkansas
If you want to repay the money to the SSA, you might have multiple options.
First, you can make the repayment in full online on the SSA’s website. Talk to your attorney and the SSA to make sure you use the correct online portal. This may be a good idea if the overpayment was minor and you can afford to do it.
Another option is to request that repayments be withheld from future benefits. A certain amount of money may be withheld from each future benefit payment until the entire amount is repaid. This may be a better idea for those who cannot afford to repay the entire overpayment at once. Similarly, you can set up a payment plan and make monthly installments.
What if the SSDI Overpayment Was Not My Fault?
In many overpayment cases, the overpayment is due to errors made by the SSA, not the SSDI recipient. As such, you should not have to be placed in a difficult financial position because of the SSA’s mistakes. You may be able to file a waiver to try to avoid having to repay anything.
When filing the waiver, we may need to show how the overpayment was not your fault and that paying it back would impose an undue financial burden or hardship. We can file Form SSA-561, Request for Reconsideration, to submit the waiver request.
You can also file an appeal of the overpayment decision within 60 days of when you receive the original overpayment notice.
The SSA will wait at least 30 days after sending the original overpayment notice before it begins collecting repayments. If you request a waiver before those 30 days have passed, the SSA may wait to collect any repayments until a decision is made regarding your waiver or appeal.
Appealing a Notice of SSDI Overpayments
You might not have realized you were receiving more benefits than you should until the SSA sends you a formal notice in the mail. Once you receive the notice, you may appeal the request for repayment, but you have a narrow window of time in which to do so.
Typically, SSDI recipients have 60 days from when they receive the original notice to file an appeal. However, the SSA will not start collecting repayments until at least 30 days after you receive the original notice. Again, if you can file the appeal within 30 days, the SSA will not begin to collect repayment until your appeal is complete.
We need proof of how the overpayment was not your fault and that repayment would be too financially difficult. Even minor clerical errors can lead to serious overpayment issues, and you, as the recipient, should not be made to pay for the SSA’s mistakes.
We need the original notice you received, supporting documentation of your condition, including medical and legal documents, and written statements. Also include the name and contact information of your legal representative.
Common Reasons for SSDI Overpayments in Arkansas
Overpayments might happen for all sorts of reasons, and they are often rooted in simple errors and mistakes.
Clerical Errors
Many overpayments are due to clerical errors. Even something as minor as a misplaced decimal point can lead to massive overpayments. It is also possible that someone incorrectly entered your information into a computer system, causing you to receive more benefits than you should.
Application Errors
Overpayments may also happen if your original application contained incorrect information. The SSA might believe that you are entitled to greater benefits than you actually are, and overpayment may result. This might be due to minor mistakes made during the application process, and we should act fast to correct them.
Miscommunications
An overpayment might instead result from simple human error. When communicating information to the SSA, the person on the other end of your case might mishear or misinterpret something you say or information you provide them. This could lead to mistakes in your benefits and overpayments that must be repaid.
Get Legal Help Today From Our Arkansas Disability Attorneys
Get help with your overpayment situation by calling our Bentonville, AR disability benefits lawyers at (479) 316-0438.