Larson Statement on Social Security Overpayment Announcement

East Hartford, CT - Today, House Ways and Means Social Security Subcommittee Ranking Member John B. Larson (CT-01) released the following statement after the Trump-appointed Acting Commissioner of Social Security announced the agency is changing the default overpayment withholding rate for Social Security beneficiaries from 10% to 100%. This means that beneficiaries who were overpaid benefits, often through no fault of their own, could lose their entire monthly Social Security check. 

“Elon Musk and Donald Trump are showing just how cruel they are,” said Larson. “They will not lose a minute of sleep while seniors lose their entire checks, often through no fault of their own. Many Social Security beneficiaries already struggle to make ends meet. Their benefits are what allows them to put food on the table, keep a roof over their heads, and put gas in their cars.  

“If this was about anything other than ripping money out of seniors’ hands to pay for a tax cut for themselves and their billionaire friends, they would not be recklessly gutting the workforce of an already understaffed agency and increasing the likelihood of agency mistakes,” Larson continued. “Last year, Republicans called for relief from clawbacks. Where do they stand now?” 

During the Biden Administration, former Commissioner Martin O’Malley set the default withholding rate to 10%, significantly reducing financial hardship for people with overpayments. As the Commissioner said at the time: "It's unconscionable that someone would find themselves facing homelessness or unable to pay bills, because Social Security withheld their entire payment for recovery of an overpayment."