An overpayment with your Social Security benefits occurs when your monthly check comes in and the monetary amount is more than you should have been paid. The overpayment amount is the different between the two numbers. Overpayments are common and can be easily remedied. They occur for several reasons:
1) Your marital status changes
2) Your living situation changes
3) Your income changes
4) Your income is more than was estimated
5) You are no longer disabled but are still getting benefits
6) You have more than the allotted resources
7) A change occur that is not reported
8) The Administration incorrectly calculates your benefits
If an overpayment does occur, the Social Security Administration will notify you with a notice in the mail. The notice will detail the overpayment and ask for a full refund of the difference within 30 days.
An overpayment notice is sometimes sent in error, and if this is the case, you can request a reconsideration. You must appeal this within 10 days of receiving the notice, and in the interim, any payment that is being made will continue until they have made a determination.
If you do not give the refund, your payments will be withheld until the amount is evened out. It is important to know that if you were overpaid, it was not your fault, and you cannot pay back the overpayment because you need the money to meet your living expenses, you may file for a waiver of the overpayment.
Overpayments are common and must be dealt with in a quick and timely manner.