Audience:

DO/BO/TSC:
CR, CR TII, CR TXVI, DRT, FR, OA, OS, RR, SR
OCO-ODO-IND:
CATA, EHI, RCOVTA
OCO-ODO-SHARE:
BA, CA, RECONR, RECOVR
OCO-OIO:
BA, BIES, CA, CATA, EIE, FCR, RECOVR
PSC:
BA, CA, CRTA, CS, DS, ICDS, IES, ILPDS, IPDS, ISRA, PETE, RECONR

Citations:

Social Security Act—Section 204

Regulations No. 4—Sections 404.501 and 404.503 Federal Coal Mine Health and Safety Act—Section 413 Regulations No. 10—Sections 410.570-410.580, 410.610 and 410.615

TN 2 (11-88)

GN 02301.001 Definition of Underpayment

A. Definition

An underpayment is any monthly benefit amount (or portion of a monthly benefit amount) due a person which has not been paid.

B. Operating Policy

1. EXAMPLES OF WHAT IS AN UNDERPAYMENT

  1. an accrued, unpaid benefit amount for which no payment has been made

  2. unnegotiated check(s) representing correct payment(s) to a deceased individual.

2. EXAMPLES OF WHAT IS NOT AN UNDERPAYMENT

  1. lump-sum death payments

  2. excess SMI premiums (see GN 02330.015)

  3. Medicare benefits

  4. Conserved and/or misused funds

NOTE: If the beneficiary dies before recertification of conserved or misused funds, the money can be paid only to the legal representative of the beneficiary's estate. See GN 00603.100B.2. Any misused funds to be reissued to an overpaid individual will be used to reduce/recover that overpayment.

C. Related Procedures

  • See GN 02408.650 on returned direct deposit payments.

  • See GN 02201.003 and GN 02301.065 on offsetting additional amounts due against excess payments made to determine any underpayment or overpayment in the retroactive period (i.e., netting).

  • See GN 02210.006 on withholding underpayments to reduce overpayments.

  • See GN 02210.001 on withholding reissued misused funds.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0202301001
GN 02301.001 - Definition of Underpayment - 05/18/2007
Batch run: 01/27/2009
Rev:05/18/2007