Technically speaking, monthly social security benefits cannot decrease, however you may receive a check that is smaller. Ever since 1975 when social security administration adopted the automatic cost of living rate increases, monthly cost of living benefit payments have risen yearly. Recipients of social security will never see a reduction in the amount of benefits they are entitled to monthly.
In the year 2010, social security administration stopped the provision of cost of living increase previously give because a number of Medicare prescription drug programs deducted their premiums from their monthly social security benefits leading to the provision of smaller checks. So though social security benefits individuals are entitled to remain the same certain circumstances may cause the actual payment individuals receive to be reduced temporarily.
Payments or garnishments can be deducted from recipients monthly social security benefit payment, causing deceases in monthly payments but once the repayment or garnishment is satisfied, monthly payments return to expected benefit payments.
Monthly social security benefits are protected from garnishment, level and assignment by Section 201 within the social security Law (42 U.S.C. 407). However the five exceptions to this law are:
1. The Tax-Payer Relief Legislation of 1997 authorizes IRS to gather unsettled Federal tax debt.
2. The Debt collection Act of 1996, which allows for welfare checks to be held so as to be paid to another Federal agency.
3. Section 6334(c) of the internal revenue code, which allows for welfare checks to be levied so as to settle unpaid Federal taxes.
4. Section 3402(P) of the Internal Revenue Code, which permits beneficiaries to elect having a proportion of their dues withheld to placate the Federal income-tax liability.
5. Section 459 of the Act, which allows garnishment to enforce child support or alimony obligations.