Social Security Benefits at Risk in February 2025 – What You Need to Do to Protect Yours

The Social Security Administration (SSA) provides financial support through various programs like retirement benefits, Disability Insurance (SSDI), and Supplemental Security Income (SSI). However, there are instances where Social Security payments may be withheld or garnished.

While these benefits are generally protected from creditors, certain legal and financial obligations can lead to deductions. Knowing these reasons can help recipients manage their finances and take necessary precautions.

Legal

Social Security payments are safeguarded from most debts, but certain legal responsibilities can override this protection. Court-ordered obligations such as child support, alimony, and restitution can result in withholdings.

Under Section 459 of the Social Security Act, a portion of an individual’s benefits may be garnished to fulfill these commitments. However, retroactive deductions are not allowed, meaning past-due amounts cannot be taken from previous payments.

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If someone wants to dispute garnishments for child support or alimony, they must address the issue with the issuing court, as the SSA does not have the power to modify or remove such obligations.

Taxes

Delinquent federal tax debt is another common reason for Social Security deductions. The Internal Revenue Service (IRS) can levy up to 15% of Social Security benefits under the Federal Payment Levy Program (FPLP).

This authority, granted by the Taxpayer Relief Act of 1997, allows the IRS to collect unpaid tax debts through automatic deductions. These deductions continue until the debt is fully repaid or a repayment agreement is arranged.

Not all Social Security recipients are subject to tax levies. SSI benefits are exempt, and those whose Social Security income falls below federal poverty guidelines may also be protected. If you wish to challenge an IRS levy, contact the IRS at 1-800-829-7650 for repayment options or relief programs.

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Federal

The Debt Collection Improvement Act of 1996 permits the Department of the Treasury to recover certain delinquent federal debts by garnishing Social Security benefits. These include:

• Unpaid federal student loans
• Overdue government-backed mortgages
• Other non-tax federal debts

However, not all Social Security benefits are at risk. Certain payments remain fully protected, including:

Protected Benefits	At-Risk Benefits
Supplemental Security Income (SSI)	Retirement benefits
Lump-sum death benefits	Social Security Disability (SSDI)
Benefits paid to children	Survivor benefits

Preventing

To avoid unexpected deductions, Social Security recipients should:

1. Stay current on child support, alimony, and court-ordered payments – Unpaid amounts may result in automatic deductions.
2. Address tax debts early – Contact the IRS to set up a payment plan before levies take effect.
3. Monitor federal debts – Federal loans and other government debts can lead to garnishments.
4. Seek legal assistance – If facing financial hardship, consult an attorney or financial advisor to look into options for debt relief.

While Social Security benefits offer financial security, knowing potential withholdings can help recipients take control of their finances. By staying informed and proactive, individuals can avoid unnecessary deductions and protect their benefits.

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