TN 53 (02-06)

SI 01130.602 Restitution Payments for Misused Benefits


Social Security Act, as amended, §1613(a) , and §1631(a)(2)(E) .

A. Background

Effective March 2, 2004, the Social Security Act (The Act) was amended requiring SSA to reissue certain misused benefits to Title II, Title VIII, and Title XVI beneficiaries. This provision applies to all misuse determinations made on or after January 1, 1995.

The Act also excludes restitution for misused Title II, Title VIII, and Title XVI benefits from countable resources for 9 calendar months following the month the restitution is received. This exclusion applies to the individual or any other person whose income is deemed to be included in such individual’s income for SSI purposes.

B. Policy

1. Restitution

Payment to the beneficiary or the beneficiary’s representative payee in the amount equal to the benefits misused in the following situations:

  1. The misuse resulted from the Social Security Administration’s negligent failure to investigate or monitor a representat