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U.S. Social Security Benefits Clawback Rate Reduced to 50% Amid Controversy
U.S. Social Security Benefits Clawback Rate Reduced to 50% Amid Controversy
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The Social Security Administration has quietly reduced the clawback rate for Title II benefits from 100% to 50%, marking a partial reversal of a Trump-era policy. The change affects retirement, disability, and survivors insurance, with automatic deductions applied to overpayments unless recipients request relief within 90 days.
While Supplemental Security Income retains its 10% withholding rate, the policy shift leaves thousands vulnerable to sudden income reductions. The adjustment follows public outcry over aggressive recovery tactics that threatened to halve beneficiaries’ monthly payments overnight.
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