US Seniors Could Lose Half Their Social Security Cheques Under Tougher Overpayment Clawback Rules

US Seniors Could Lose Half Their Social Security Cheques Under Tougher Overpayment Clawback Rules

Millions of American retirees and disabled beneficiaries now risk losing half of each monthly Social Security cheque whenever the agency decides it paid them too much. The Social Security Administration quietly fixed a default withholding rate of 50 per cent for new benefit overpayments through an internal emergency message dated 25 April 2025, and that rate still governs recovery today. It replaced a short-lived 100 per cent clawback the agency…