HR2142-119

What This Bill Does

The Social Security Overpayment Relief Act creates a 10-year lookback limit on recovery of old overpayments. It amends Social Security Act section 204 for title II benefits and section 1631(b) for SSI. In either program, when more than the correct amount has been paid, the United States may not adjust payments to, or recover from, any person an overpayment that occurred 10 or more years before the date on which the Commissioner finds that more than the correct amount was paid. The bill does not eliminate recovery of more recent overpayments; it protects beneficiaries from collection of very old overpayments that the agency discovers at least a decade later.

Who Benefits and How

Social Security beneficiaries benefit because overpayments older than 10 years cannot be recovered through adjustment or collection. SSI recipients benefit from the same 10-year recovery limit for old overpayments. Older adults on fixed incomes benefit if long-delayed overpayment notices no longer trigger benefit reductions. Disability beneficiaries benefit from more predictable exposure to overpayment collection.

Who Bears the Burden and How

The Social Security Administration must identify the age of overpayments before adjustment or recovery. SSA debt collection staff lose authority to collect title II and SSI overpayments older than 10 years. Federal trust funds and taxpayers bear unrecovered overpayment amounts outside the 10-year window. Program integrity offices must update notices, systems, and collection rules.

Key Provisions

• Limits title II Social Security overpayment recovery to overpayments less than 10 years old when found.
• Limits SSI overpayment recovery under the same 10-year rule.
• Bars both payment adjustment and recovery by the United States for covered old overpayments.
• Preserves recovery authority for overpayments found within the 10-year window.