Law Offices of Frese, Whitehead & Anderson P.A.

Local: 321.473.3295

Toll free: 866.510.7362

We can tailor a solution to meet your needs. Find out how.

Mistake made by SSA could end up costing you

If you're like a portion of people here in Florida then you may not have given your retirement age a second thought because you had a pension to fall back on along with other forms of savings. There was also Social Security retirement benefits to look forward to, which made the decision to retire on time or even earlier all that much easier to make.

If you're like most people, you probably also planned well, making sure that you had all of your financial ducks in a row and were able to pay for added expenses such as medical care. Unfortunately, this careful planning could be derailed if you are affected by a mistake made by the Social Security Administration.

As you may have already heard, the mistake we are referring to is an accounting error that both underpaid and overpaid recipients of Social Security retirement benefits and government pensions. The mistake, the Administration explains, could cost the government $2.5 million per year if the matter is not resolved.

The reason this could put a kink in your financial plans is the fact that the government is likely to request repayment of overpaid benefits. As you can imagine, this could be incredibly problematic for the affected retirees who are on a relatively fixed income. Paying for health care could become increasingly difficult, which could force some to rely on Medicaid more to offset the cost.

Though this accounting error may only affect a small portion of the population, the difficulties they could face because of it could be tremendous. And while it might not lead to any litigation, it should illustrate to our readers the issues one could face when their carefully laid retirement plans come across a bump in the road.

Source: Investment News, "Social Security's $12.4 million error," Mary Beth Franklin, May 19, 2015

No Comments

Leave a comment
Comment Information
AV LexisNexis Martindale Hubbell Peer review Rated for Ethical Standards and Legal Ability Super Lawyers The Florida Bar Board Certified Real Estate The Florida Bar Board Certified Taxi Law The Florida Bar Board Certified Wills, Trusts and Estates The Florida Bar Board Certified Civil Trial Florida Trend The Issues, People and Ideas that Define Florida Business