When the regular payment date falls on a Saturday, Sunday, or a Federal holiday, the
payment date becomes the last day before the regular payment date that is not a Saturday, Sunday, or Federal holiday. This payment date is defined as an early
delivery payment date.
When a benefit delivered early is incorrect because entitlement terminated due to
death, the incorrect benefit is not recovered if the death occurred after the payment
was made (i.e., payment was issued and accepted, whether or not spent) but in the
same month as the early payment.
Assume that the disqualifying event occurred after payment was made. This provision
is applicable regardless of the method of payment (e.g., direct payment, representative
payment, payment to a financial institution). If representative payment has been made,
the representative payee must have expended the incorrect benefit on the beneficiary.
Assume that the death occurred after payment was made. There is no early payment if
the check is not received or is returned. Payment of any increased benefits, underpayments,
and/or lump-sum death payment is made without regard to the existence of such an incorrect,
early payment on the record.
EXAMPLE: The beneficiary received her benefit check for December on Thursday morning, December
31, and cashed her check that afternoon. On returning to her apartment shortly after
cashing her check, she died. Although a benefit is not due for the month of death,
the beneficiary had already cashed the check for the December benefit. The December
benefit is incorrect, but is not subject to recovery. (See GN 02201.007E)