The Social Security Administration (SSA) will now withhold 100% of Social Security full benefits in cases of overpayment. The agency estimates the change will recover more than $7 billion over the next decade.

“We have the significant responsibility to be good stewards of the trust funds for the American people.”

Lee Dudek, Acting Commissioner of Social Security

The change is part of a larger program known as the Treasury Offset Program. SSA began sending notices on March 27th about the 100% withholding rate. Previously, the rate had been set at 10%. The change applies to overpayments of SSA benefits after March 27th. Current beneficiaries with overpayments prior to this date will not be charged and no action is required.

Social Security Full Benefit Withholding: Resident Impact

Many multifamily residents rely on Social Security benefits to live and 100% withholding could be extremely disruptive. As property owners and agents it is important to ensure instants of overpayments don’t happen.

1. Report Income Changes Promptly
   Ensure residents understand they must report any income changes including employment, pensions, or rental income to SSA immediately.
2. Stay Informed on Reporting Requirements
   Understand what the SSA considers countable income and ensure you’re not unintentionally triggering incorrect reporting through forms or certifications.
3. Educate Residents During Annual Recertifications
   Use recertification or lease renewal meetings to remind residents of their responsibility to report income changes to SSA.

Social Security Beneficiaries can also do their part to ensure overpayments and the full suspension of benefits don’t happen.

1. Update SSA About Life & Income Changes
   Things like getting married, starting a job, or moving can affect benefits. Report changes as soon as possible.
2. Keep Copies of All Communications with SSA
   Always keep records of what you report and when including copies of mailed forms, confirmation emails, or receipts from SSA offices.
3. Use SSA.gov Tools
   Set up a “my Social Security” account to monitor benefits, update information, and catch errors early.
4. Ask Questions When in Doubt
   Residents shouldn’t guess they can call SSA or visit a local office for guidance before making decisions that could impact benefits.

Finally, stay proactive. Overpayments can take years to be noticed, and residents may be unaware until SSA demands repayment. Regular reviews and communication can help catch potential issues early.

It’s important to note these chances only apply to Social Security Benefits. The rate for Supplemental Social Security Income overpayments remains 10%.