Social Security improper payments set to hit $1.1 billion for the year

The Social Security Administration's  improper payments will reach about $1.1 billion for FY2024, according to a new report from the Social Security Administration Office of the Inspector General.

The OIG found that the agency has a “record-breaking backlog” of 5.2 million open cases.

The average processing time for cases related to improper payments was 698 days.

Improper payments occur "when the funds go to the wrong recipient, the recipient receives the incorrect amount of funds, or the recipient uses the funds in an improper manner."

In FY2023, government-wide improper payments were $236 billion with Medicare and Medicaid making up the largest share.