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Is It Common For Social Security To WIthhold Back Pay?

I was awarded my social security ssdi and ssi Jan of 2020. I recieved my first payment for back pay (ssi) in March 2020 and I was contacted on Sep 2020 to check in on to see if I was capable of handling my money to release the remanding back pay (ssdi). They said the remaining back pay is 56,076 which seems right since I get only 1,164 a month and they retro approved to Jan 2015. I have yet to recieved the 56k and that has been almost a year ago now it was supposed to be released. I have contacted the SSA and they keep giving me a run around. Should I contact a lawyer? Is this a common issue? Any help would be greatly appreciated. Thank you

Hi. It's not uncommon for Social Security to pay Supplemental Security Income (SSI) back pay in installments instead of a lump sum (https://secure.ssa.gov/apps10/poms.nsf/lnx/0502101020), but it sounds like you're referring to your retroactive Social Security disability (SSDI) benefits being withheld. The most probable cause for that would be a delay in calculating the amount of SSI offset involved in your case.

SSI offset is required in cases where a person is eligible for back pay from both Social Security benefits and SSI. SSI is needs based, and those benefits are typically paid first when back pay is involved. However, you can't be paid full SSI benefits and full SSDI benefits for the same month(s). Monthly SSI benefits are basically offset dollar for dollar by the amount of a person's SSDI benefits.

Assuming that Social Security paid you the full SSI back pay that you were due for past months, before releasing your SSDI back pay they would need to calculate how much of your SSI back pay would have been offset if your SSDI benefits would have been paid timely. That offset amount must be deducted from your back pay and be reimbursed to the SSI program before releasing the remainder of your SSDI back pay. It typically doesn't take more than 3 or 4 months to do an SSI offset computation, but due to understaffing and COVID I think Social Security is running behind on the processing many complex cases. And, the apparent length of your back pay would likely make the SSI offset especially complicated in your case.

I don't actually have a good suggestion for you as far as speeding up payment of your back pay, but it wouldn't hurt to contact the offices of either your U.S. congressional representative or one of your U.S. senators to ask them to make and inquiry to Social Security on your behalf.

Best, Jerry

Posted: 
Jul 11 2021 - 7:35pm
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