Which situation can cause an overpayment in SSI benefits?

Starting to work and not reporting that income can lead to an overpayment in Supplemental Security Income (SSI) benefits because the Social Security Administration (SSA) assesses eligibility and benefit amounts based on an individual's income and resources. SSI is designed for individuals with limited income and resources; therefore, any increase from employment could potentially affect the amount of benefits one is entitled to receive. If a beneficiary does not report their earnings, the SSA may continue to issue benefits under the assumption that the individual still qualifies for the same amount, resulting in overpayment once the income is considered.

It's important for recipients of SSI to keep the SSA informed of any changes in their financial situation to avoid such scenarios. Consistent communication regarding earned income helps maintain the appropriate level of benefits and prevents the need for repayment of any excess amounts received due to unreported earnings.