Over\u202f1\u202fmillion recipients face automatic offsets for unpaid federal debts; here\u2019s the playbook to keep as much of your benefit as possible.<\/p>\n\n\n\n
Starting July\u202f24,\u202f2025, Uncle Sam will begin skimming benefits from Americans who owe federal debts. Retirees, disabled workers, and survivors who rely on Social Security could see smaller deposits unless they act fast. The stakes are high: a single garnishment can shave 15\u202fpercent off a check, potentially dropping a household below the poverty line.<\/p>\n\n\n\n
Congress green\u2011lit broader collection authority last year, and the Treasury Department is flipping the switch this month. If you have defaulted federal student loans, past\u2011due taxes, or were overpaid by any government program, your benefit is fair game. Private creditors still cannot touch Social Security, but federal agencies can\u2014and will. Feeling anxious? Here\u2019s the hard cap:<\/p>\n\n\n\n