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Have you heard about the Social Security $16,728 yearly bonus? Theres really no bonus that retirees can collect. The Social Security Administration (SSA) uses a specific formula based on your lifetime earnings to determine your benefit amount.
If you are receiving SSI, generally SSA will withhold 10% of the maximum federal benefit rate each month. If you cannot afford it, you may ask that less be taken from your benefit. Alternatively, you may ask to pay back the overpayment at a rate greater than 10%.
If you do not agree that you have been overpaid, or if you believe the amount is incorrect, you can appeal by filing Form SSA-561, Request for Reconsideration. You should explain why you think you have not been overpaid or why you think the amount is not correct.
In bankruptcy, Social Security overpayments are treated as unsecured debts similar to credit card debt and medical bills. So if you are unable to pay back your Social Security overpayment, filing for bankruptcy relief can allow you to discharge your obligation to the SSA.
Social Security will send you a notice explaining the overpayment with a request for you to repay the amount within 30 days of the notice. If you are receiving SSDI payments, Social Security will withhold the full amount of your benefit each month, unless you request a lesser withholding amount.
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What can you do when you get an overpayment notice? File a Request for Reconsideration. Generally, the burden of proof is on the Social Security Administration to provide a logical explanation of why the overpayment happened and how it was calculated. The request must be filed in writing, within 60 days.
Can benefit overpayments be written off? In very rare cases, benefits overpayments can be written off. However, this is usually only after a long period of time, and usually only if the DWP considers that it would be seriously detrimental to the health and wellbeing of you or your family.

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