Government spending and jobs are being cut across the board, and it doesn’t seem like there isn’t an agency left untouched — including Social Security.
This became all too real, and frightening, for Paul Aguilar, who recently got a letter from the agency telling him his disability benefits had been slashed. Even worse? The agency claims it overpaid Aguilar $201,000, and it wants the money back.
Don’t miss
- I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 5 of the easiest ways you can catch up (and fast)
- Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10
- Car insurance premiums could spike 8% by the end of 2025 — thanks to tariffs on car imports and auto parts from Canada and Mexico. But here’s how 2 minutes can save you hundreds of dollars right now
The letter said that “there were concerns about my benefits and that they should have actually stopped December 2013, and that I now owed them over $200,000 and I had 30 days to pay that $200,000," Aguilar told ABC7 News.
Aguilar has been unable to work and on disability due to his HIV-positive status since 2005. Now, Social Security wants him to pay back a decade’s worth of benefits in just one month.
While the sheer size of the bill is scary enough, Aguilar said he’s most worried about his medical care getting cut off and giving the disease a chance to catch up.
“The fact that they cut off my medical care scares me more than anything else because if I can’t access my medical care, it means I can’t access my medications which means eventually my HIV virus disease will spiral out of control and I could be dead in a year or two.”
Aguilar believes DOGE is behind his benefits being slashed, and he might be right: the Social Security Administration released a statement in February about its plans for structural reorganization in response to DOGE cuts and changes from the Trump administration. Even before DOGE, the agency has come under scrutiny for overpayments that were later flagged for repayment, stunning and scaring benefit recipients.
But that isn’t stopping Aguilar from fighting back. He’s been working with a lawyer, his doctor and is reaching out to lawmakers.
What you can do
As the Elon Musk-led DOGE targets federal government agencies for drastic cuts, it’s fair to wonder if and when disability benefits might be cut. But there are measures you can take if it happens to you.
If you want to file an appeal, do it immediately. In order to keep your benefits during the appeal process, you need to make that request within 10 days of notice. You then have 60 days to file an official appeal.
Consulting a disability attorney as soon as possible is the smartest route to take. An attorney can walk you through the appeals process and go to any benefits hearings if necessary. Even better, many disability lawyers handling Social Security cases work on contingency, which means you only pay them if they get your benefits reinstated.
Make sure to gather all relevant documentation related to your disability, including medical records, physician statements, treatment and therapy records, and any correspondence with the Social Security Administration. Be sure to also include any evidence that your disability prohibits you from daily tasks or working.
In the meantime, you might need to explore other coverage options. Even if your SSDI benefits are cut, Medicare coverage may be available.
Read more: Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don’t have to deal with tenants or fix freezers. Here’s how
Preparing for the uncertain
The current economic and political landscape might have folks feeling anxious about the availability of benefits and services. Social Security has appeared acutely at risk, as cuts have already hurt staffing levels and closed offices.
Let’s explore some ways you can prepare yourself for possible cuts.
Set up an emergency fund: Consider opening a high-yield savings account for small but consistent auto-transfers. Aim for an amount that will cover three to six months of essential expenses.
Analyze your budget: Track your non-essential expenses to see what could be removed quickly in the event of a sudden cut to your benefits. Formulate a hypothetical budget that only focuses on essential bills, especially medication, treatments or transportation related to your disability.
Consider flexible work options: If your disability prevents you from working 40 hours, consider part-time, remote or freelance work — anything to build up that emergency fund. Make sure to research what work limits SSDI has in place, as working could impact your benefits eligibility.
Explore other resources: Research your eligibility for other benefits services, such as SNAP, Medicare, utility discounts, housing assistance and nonprofits. If your disability benefits get cut suddenly, you’ll know which services to turn to quickly. Also consider checking out the Disability Benefits Consortium, a national group of charities that provide resources, advocacy and guidance in the benefits system.
Keep track of your benefits: Benefits policies are rapidly changing, with criteria for assistance getting tightened. Make sure to stay alert and up-to-date with current SSA policy and respond promptly to any correspondence from the agency. This will help keep you informed and prepared in the event you need to appeal a cut to your benefits.
What to read next
- Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it
- Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
- Do you rely on your monthly Social Security check to get by? Here are 5 simple money moves for American seniors during Trump’s presidency
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
