Social Security payments cut in half for some recipients

(NewsNation) — Some Social Security recipients will see smaller payments in July and beyond as the agency starts taking back funds from those who were initially overpaid.

Between the fiscal years of 2015 and 2022, the Social Security Administration paid out almost $72 billion in incorrect payments, according to the SSA’s Office of the Inspector General. Overpayments can happen when a beneficiary doesn’t update an income change, for example. This can cause the agency to incorrectly calculate someone’s benefits.

Because of these overpayments, some beneficiaries could see their monthly payments cut in half starting in July. This was announced by the agency in April, with the agency adjusting the withholding to 50% instead of all of a beneficiary’s benefits.

Before that announcement, only 10% of a person’s benefits check was being taken for the overpayments. This changed in 2023 after the agency received negative feedback. The Social Security chief at the time, Martin O’Malley, said, “Innocent people can be badly hurt,” according to the Detroit Free Press.

Overpayment notices started being issued in April

Under the agency’s new policies, it announced that overpayment notices would be sent out starting on April 25, 2025. Receipients who are affected would’ve been notified that the start date for withholding 50% of each check would be around July 24, 2025.

If you don’t want to have half of your benefits taken each month, you do have the option of repaying the overpayment online or by check. If you want to learn how to do so, you can visit the agency’s website. You can also request a waiver that states you do not need to repay the overpayment if you believe it wasn’t your fault or if you cannot afford it.

If you need to know when to expect your check in July, you can check the Social Security Administration’s retirement schedule online. Payments are based on your birth date, with the following dates for July: