Special Considerations Regarding Past Due Benefits

Checks for past due benefits may be sent to other entities first, to repay benefits or cover fees incurred during the time the claimant's case was being resolved.

Past due benefits might also be paid in installments instead of a lump sum.

Other Entities

Withholding of Attorney's Fees

Attorney's fees are withheld from the claimant's check only if it is an SSD (Social Security Disability) check. Such fees are not withheld from an SSI (Supplemental Security Income) check.

If all or part of the claimant's past due benefits are from SSI, the attorney must look directly to the claimant for payment of fees.

Welfare Reimbursement

Social Security may send the past due benefits check to the state Department of Human Services (Welfare). Human Services may reimburse itself for payments made to the claimant in the interim.

Installment Payments

The claimant's SSI past due benefits may be released to the claimant in up to three installments, six months apart. The amount of each installment is 12 months' worth of SSI.

Advocates should argue to the Social Security office that the legal bill constitutes an outstanding debt for basic needs, to be advanced from the second installment. This way the claimant receives a full 12 months' worth of benefits, without having to pay the attorney out of that amount.