If adjustment (full or partial) is in effect when the overpaid person's benefit ceases
to be payable, send a notice explaining the change in entitlement and request full refund of the outstanding
amount. For sample notice, see NL 00703.106.
Example: In 4/88, the RSI benefit due Al Jones was reduced $50 a month to recover his 1987
work deduction overpayment of $910. Based on a report of work beginning 2/89 and an
earnings estimate of $40,000, payment is suspended effective 2/89. Mr. Jones' overpayment
has been reduced to $410 by the 4/88 - 1/89 benefit adjustment. The work suspension
notice requests refund of the $410.
If adjustment (full or partial) is in effect and it is determined that a benefit is
not payable retroactively, refigure the amount which has been recovered and determine any new or additional overpayment (GN 02201.025).
Example: Since 1/88, the $200 student child's benefit due Mona Mills has been reduced to $170
to permit her $300 overpayment to be recovered at the rate of $30 monthly. In 6/88,
she reports that she married in 4/88. The prior overpayment has been reduced to $210
(i.e., $30 withheld 1/88-3/ 88), and there is a new overpayment of $340 (i.e., $170
paid 4/88 and 5/ 88). The termination notice requests refund of $550, explaining the
new $340 overpayment (including her right to appeal and waiver) and why it was possible
to recover only $90 of her prior overpayment.