The waiver rules for Supplemental Security Income look like the Social Security ones: you must be without fault, and collecting must defeat the purpose of SSI, be against equity and good conscience, or not be worth the cost for a small amount (20 CFR 416.550). You use the same form, SSA-632-BK, and SSA's manual covers both programs in one chapter (POMS GN 02250). But several details differ, and they matter.
The differences at a glance
| SSI | Social Security (retirement, survivors, SSDI) | |
|---|---|---|
| Default withholding | 10% of total monthly income, or the whole payment if less (20 CFR 416.571) | 50% of the monthly benefit, for notices since April 25, 2025 |
| When withholding starts | About 60 days after the notice, if you don't respond within 30 days | At least 30 days after the notice; usually about three months |
| “Can't afford it” test | Met automatically while you get SSI | Met through SNAP, TANF, VA need pension, Extra Help, 150% of poverty, or the budget test |
| On-time report | Within 10 days after the month of the change | Report promptly; the 10-day definition is SSI's |
| Appeal of a waiver decision | Always reconsideration first | A hearing, if you had a personal conference |
| Appeal options on SSA-561 | Case review or informal conference | No choice to make (that box is for SSI) |
Current SSI recipients pass the affordability test
SSA “deems” collection to defeat the purpose of the program when the overpaid person, or a household family member, currently receives SSI, SNAP, TANF, a VA pension based on need or Medicare Part D Extra Help (POMS GN 02250.110). On SSA-632-BK you check Yes at question 6 and skip the financial pages. What remains is the question of fault.
Fault rules that only apply to SSI
- A report counts as on time if you made it within 10 days after the month the change happened (POMS GN 02250.016B.1).
- An overpayment caused by admission to a medical institution is presumed not your fault.
- So is one caused by a life insurance policy you didn't know had a cash surrender value, or whose value crept over the limit.
- If your countable resources were over the limit by $50 or less, SSA must treat you as not at fault and waive the overpayment, unless there's clear evidence you knowingly failed to report (POMS GN 02250.090).
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Couples
For an eligible couple, the $2,000 administrative tolerance applies only if each spouse's original overpayment is $2,000 or less (POMS GN 02250.350B.4). If spouses separated and one didn't receive the money that caused the overpayment, collecting that part from them is against equity and good conscience (20 CFR 416.554).
Appeals
To dispute the overpayment itself, file the SSA-561-U2 within 60 days of the notice. If you do, SSA stops withholding, refunds anything taken in or after the month of your request, and starts again only if it confirms the overpayment (POMS SI 02220.017). On the form you choose a case review, where SSA decides from your file, or an informal conference, where you meet the person who decides. For an SSI overpayment of $2,000 or less, SSA treats the appeal as a waiver request too.
If SSA turns down your waiver, the next step for SSI is always reconsideration, within 60 days of receiving the decision, whether or not you had a personal conference (POMS GN 02250.380C).
Lowering the SSI withholding
If 10% leaves you unable to pay for food, shelter or medicine, SSA lowers the rate to what you can manage, but never below $10 a month. It aims to collect the debt within 12 months, then within 60; beyond 60 months it asks for SSA-634 (POMS SI 02220.026).
Getting both Social Security and SSI?
SSA's manual sets withholding for a Social Security overpayment at 10% of the Social Security benefit for people who also get SSI, unless they ask for a different rate (POMS GN 02210.045, June 2024). Your notice states the rate SSA plans to use.
Free help is available from legal aid (LawHelp.org) and from Social Security at 1-800-772-1213. This guide is general information, not legal advice.