Agency Program Information – RSDI

Agency Accountable Official

Retirement, Survivors, and Disability Insurance (RSDI)

Supplemental Security Income (SSI)

High-Dollar Improper Payments

Recovery Efforts – RSDI and SSI

Administrative Payments

What's New

Program Integrity, Payment Accuracy, Service Delivery, Program Access, Accountability

Background

The Retirement, Survivors, and Disability Insurance (RSDI) program refers to retirement, survivors, and disability benefits paid to workers, their dependants, and survivors. For more detailed information on each of these programs, please visit the following links:

Retirement Benefits
Survivors Benefits
Disability Insurance

We identify improper payment findings (both overpayments and underpayments) through our stewardship reviews of the nonmedical aspects of Retirement and Survivors Insurance, and Disability Insurance programs on an annual basis.

Between fiscal years (FY) 2006 – 2010:

We paid approximately $2.6 trillion to retirement and survivors beneficiaries.
- $4.9 billion (0.19%) was estimated to have been overpaid.
- $2.1 billion (0.08%) was estimated to have been underpaid.
We paid approximately $530.5 billion to disability insurance program beneficiaries.
- $5.5 billion (1.0%) was estimated to have been overpaid.
- $2.3 billion (0.4%) was estimated to have been underpaid.

Major Causes of RSDI Improper Payments

The graph below indicates the major causes of improper payments (overpayments and underpayments) in the RSDI program using OMB's three categories of error:

Pie Chart -Major Causes of RSDI Improper Payments for FY 2010 - Details outlined in table below.

Major Causes of RSDI Improper Payments in FY 2010
	% of Improper Payments	Major Types of Errors
Administrative and Documentation Errors	28%	Incorrect computations, onset dates, and earnings history
Authentication and Medical Necessity Errors	13%	Relationship/dependency errors and failure to report cessation of full-time attendance for students
Verification and Local Administration Errors	59%	Non-verification of earnings, income, assets or work status (e.g., in relation to Substantial Gainful Activity [SGA] and Government Pension Offset); inputting, classifying, or processing applications or payments incorrectly

The following tables indicate the major causes of RSDI overpayments and underpayments, for FYs 2006 ‑ 2010, as determined from our payment accuracy reviews:

Major Causes of RSDI Overpayments FY 2006 – FY 2010
SGA	When a disability beneficiary works, a number of factors determine whether or not the individual can continue to receive monthly benefits. After completing a nine-month trial work period, we do not pay a beneficiary for months when earnings exceed SGA thresholds. Errors occur when beneficiaries fail to report earnings timely, or when we do not timely withhold monthly benefit payments from those engaging in SGA.
Computations	We determine an individual's benefit amount by a number of factors, including age, earnings history, and the type of benefit awarded. Inaccurate information or administrative mistakes can cause errors in calculating benefits. In terms of overpayments, computation errors involving the Windfall Elimination Provisions are the leading cause of deficiencies.
Government Pension Offset	We may offset RSDI benefits for a spouse or surviving spouse if he or she receives a Federal, State, or local government pension based on work for which the spouse did not pay Social Security taxes. Errors occur when receipt of these types of pensions are not reported.

Major Causes of RSDI Underpayments FY 2006 – FY 2010
Computations	We determine an individual's benefit amount by a number of factors including age, earnings history, and the type of benefit awarded. Inaccurate information or administrative mistakes can cause errors in calculating benefits.
Earnings History	The earnings reported on an individual's work history help determine the amount of monthly benefits that the individual or someone filing on that account will receive. When the earnings record does not accurately reflect the individual's earnings, errors can occur when the individual applies for benefits.
Workers’ Compensation (WC)	If a person receives both WC and Social Security disability benefits, the total amount of these benefits cannot exceed 80 percent of his or her average current earnings before becoming disabled. If the total exceeds that amount, we reduce Social Security disability benefits until reaching the 80 percent threshold. Underpayments occur when the receipt of WC decreases or ceases, and we do not adjust the disability benefit.