There has been no shortage of shakeups since President Donald Trump took office, including a historic overhaul of the U.S.'s foreign trade and tariffs policy that included new agreements and tariffs on over 180 countries.
However, newly introduced tariffs haven't been the only thing that's changed. There have also been some Social Security changes that will affect the more than 50 million retirees receiving benefits from one of the country's most important social programs.
Below are two Social Security changes that recipients should know about, as well as a tariff chain reaction that could affect future benefits.
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1. Social Security overpayment recovery rates will go back to 100%
Unsurprisingly, Social Security has flaws, and errors can occur. Sometimes, the mistakes are as small as a missed address update. Other times, the mistake can be Social Security overpaying on benefits. When the latter happens, Social Security can reclaim the extra payment by subtracting it from your future monthly benefits.
Recently, when an overpayment happened, Social Security would recover 10% from monthly benefits until it recovered the full overpayment amount. For example, let's assume your monthly benefit is $2,000, and you accidentally receive $2,500 one month. Social Security would withhold $50 for 10 months until it received the $500 back.
Unfortunately, the 10% payback rule is no longer the go-to, and Social Security has reverted to the process it had leading up to March 2024.
Now, if Social Security overpays, it can withhold all your Social Security payments until they receive the full overpayment amount back. For example, if your monthly benefit is $2,000 and you receive $3,000 accidentally, your next monthly check would be $1,000. If you accidentally receive $2,500, your next check would be $1,500.
The good news is that you can appeal the repayment decision or request a waiver, as long as you can prove the overpayment wasn't your fault and paying it back would cause financial hardship. To appeal an overpayment, fill out this Request for Waiver of Overpayment Recovery form and then fax or mail it to the Social Security branch nearest your home.
2. Identity verification procedures just got a lot stricter
As of April 14, the Social Security Administration (SSA) has enacted stricter identity verification procedures.
If you don't use the online account, you must visit your local Social Security office with a valid government-issued ID to change your benefits or start benefits. The SSA has an online locator that can help you find the nearest Social Security office to your zip code.
There's a very real chance that several Social Security offices will close this year, so please double-check that your local office is open, even if you've visited it recently.
