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capitalbuilding 120This week, Tom Reed called for the "real reform" of social welfare programs, as new studies reveal that these programs are actually discouraging recipients from returning to the workforce due to administrative failures.

"If you have a disability, and want to work, you should have the ability to do so. We need to encourage self-sufficiency, not punish it," said Reed. "I care about the people enrolled in Social Security Disability Insurance, and they shouldn't have to be concerned that their benefits will evaporate if they start to advance in the workforce."

According to testimony provided to the House Ways and Means Committee, subcommittee on Social Security which Reed is a member of, the Social Security Administration (SSA) can take up to 18 months to adjust records from the time the beneficiary submits original updates to their earning statements. As such, nearly 1 billion dollars were distributed in error by the SSA in overpayments to disability beneficiaries.

The inability of the SSA to manage the DI program's work reporting system causes overpayments to those trying to return to work in the tens of thousands of dollars. The problem only compounds, as once the Administration's records are updated, beneficiaries are required to pay back the overpayment, and future benefits will cease until the amount is repaid.  This leaves those most vulnerable often without benefits and still unable to work.

The subcommittee also heard testimony that these overpayments create a culture of fear around returning to work, stopping many people from even attempting to advance or return. Instead of taking a path toward self sufficiency, they are left trapped, concerned that what little they have will be taken away if they advance.

"As the social security disability fund will reach insolvency in 2016, we must make every effort to simplify the system, and not punish success but encourage responsive government that helps, not hurts, those who need it most," Reed continued.

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