Widow Loses Social Security Checks After She Can't Pay $10,000 Bill

A man is pleading for donations to help his mom, a widow, pay back $10,000 she owes to Social Security Administration in overpayments or she'll risk losing out on monthly payments for a year.

The Social Security Administration sparked widespread backlash for forcing recipients to pay back money they were given by mistake. Several legislators have called for a reevaluation of SSA's practices, according to ABC News, questioning the agency's management and the ethical implications of demanding repayments from those who cannot afford it.

Christopher Alvino's father died months after testing positive for COVID-19, and when his mother tried to claim his Social Security benefits, she was told she actually owed money. Alvino wrote on a GoFundMe that his mother owed $10,000 in overpayments, a shock given the support she anticipated she'd get from her late husband's benefits.

"I honestly don't know what to do," Alvino wrote on the GoFundMe. "Before this year, we were a three income family...Both my mom and I have completely tapped out our bank accounts and have almost no cash left."

The Alvino family did not respond to Newsweek's request for comment via its GoFundMe page.

The Social Security Administration has been grappling with a widespread problem of overpayments. In fiscal year 2022 alone, the SSA attempted to reclaim $4.7 billion of overpayments, with $21.6 billion overall still outstanding. The issue has affected millions, many of whom are among the most vulnerable—including the elderly, disabled, and those living in poverty, Newsweek previously reported.

The SSA's approach to resolving overpayments has been controversial. The agency has been known to employ tactics to recover funds, including reducing or stopping monthly benefit payments and garnishing wages.

The SSA did not immediately respond to Newsweek's request for comment.

In the case of the Alvino family, they said the SSA said it will not send any benefits until overpayments are repaid, which will be in 10 months from now, in September of 2024.

The measures have often left recipients in dire financial straits, exacerbating their already precarious situations. "My family needs financial help to get us through the next couple of months," Christopher said on the family's GoFundMe page.

The widespread impact of overpayments and the SSA's methods of recovery have led to a public outcry. Recipients of overpayment notices, many of whom spent the money not knowing it was an overpayment, have been left overwhelmed and panic-stricken, Newsweek previously reported.

"Can you imagine the shock of thinking you'll be getting your husband's SSI benefits to help you survive as a widow, but instead you need to PAY social security [because] all of a sudden, they claim they've been overpaying you for years?" Christopher said.

Congressional inquiries and hearings have been initiated to understand the scope of the problem and to hold the SSA accountable for its actions.

Newsweek previously reported that SSA acting commissioner Kilolo Kijakazi in October said that despite the agency's high accuracy rates, the administration is going to review its overpayment policies and procedures to further improve how they serve their beneficiaries.

President Joe Biden earlier in July nominated former Maryland Governor Martin O'Malley to head the SSA. If confirmed by the Senate, O'Malley said that he would "absolutely prioritize" reducing overpayments while improving the appeals process for Americans asked to repay money.

The incoming SSA head, if confirmed, faces the task of overhauling a system that has left many like the Alvino family in a state of financial and emotional distress.

As the widow's family turns to platforms like GoFundMe for support, their situation is a microcosm of the larger issue affecting millions of Americans. Congressional leaders like Representative Marc Molinaro of New York are now engaged, pushing reform that could prevent an overpayment crisis in the future.

"The Social Security Administration screwed up, and now they're demanding that seniors pay for the administration's mistakes," Molinaro wrote to the SSA in September, calling on the agency to "immediately stop seeking back overpayments and take steps to update its system to prevent future failures."

"This is absolutely unfair to the Americans who unknowingly received overpayments from the SSA, and this must be addressed immediately," Molinaro said.