SSA Must Share Death Data with 'Do Not Pay' System to Stop Payments to Deceased by Late 2026

This legislation, officially titled the Ending Improper Payments to Deceased People Act, aims to plug a significant hole in government spending: benefit checks still going out to people who have passed away. In short, the bill mandates that the Social Security Administration (SSA) start sharing the death information it receives with the federal government’s “Do Not Pay working system.” This system is designed to catch and prevent improper payments across various federal programs.

The Data Sharing Upgrade

Under the new rules, the SSA Commissioner must set up a system to share data with the Do Not Pay agency. The goal is straightforward: use the data to help stop wrong benefit payments or help get back money that was paid out by mistake (Sec. 2). Think of it as finally giving the fraud prevention team the critical information they need, instead of keeping it locked away in a separate department. This coordination is intended to save taxpayer money by catching improper payments before they happen. However, the agencies must first agree on how they will split the costs associated with using state death records to verify this information.

The 'Clear and Convincing' Safety Net

This bill includes a crucial safeguard for the living. It specifically states that the SSA cannot mark someone as deceased in their records based on this shared information unless they have “clear and convincing evidence” that the person is actually dead (Sec. 2). This is a high bar, and it’s there to protect people from the nightmare scenario of being mistakenly declared dead—a situation that can instantly freeze bank accounts, stop healthcare coverage, and create a year-long bureaucratic headache to fix. If the SSA does make an error and incorrectly notifies another agency that someone died, they are now required to tell every agency they shared that information with about the mistake.

When the Change Kicks In

While the goal of stopping improper payments is a clear win for government efficiency, don't expect this system to be running tomorrow. The provisions of this Act won't take effect until December 27, 2026 (Sec. 2). This long lead time gives the SSA and the Do Not Pay system plenty of runway to work out the complex logistics of data transfer, cost-sharing agreements, and establishing the protocols for meeting that “clear and convincing evidence” standard. For the average taxpayer, this bill means better oversight on federal spending, ensuring benefit dollars go where they are supposed to, rather than into the bank accounts of the deceased.