How much fraud did the Social Security Administration report in 2023?

1. What the $88.05 million figure actually is

The most direct statement about “fraud” in FY2023 comes from a Congressional Research Service summary of SSA/OIG data that reports $88.05 million of confirmed fraud for “financial fraud (intentional money loss payments)” in FY2023; that number reflects investigations that met SSA OIG’s standards for confirmed intentional loss and thus excludes a much larger set of improper payments that arise from error, administrative problems, or eligibility issues ^[1].

2. Why tens of billions appear in the conversation but shouldn’t be conflated with proven fraud

Independent SSA audits and OIG reporting emphasize that improper payments—mostly overpayments—are a separate accounting category from criminal fraud; SSA estimated nearly $72 billion in improper payments across FY2015–FY2022 and reported an uncollected overpayment balance of $23 billion at the end of FY2023, figures driven largely by administrative errors, eligibility retroactivity, and recoverable overpayments rather than demonstrable criminal schemes ^[2]. Those improper-payment totals are frequently cited in public debate, but SSA and watchdogs explicitly distinguish them from “confirmed fraud” because improper payments can include innocent mistakes, outdated information, or recoverable benefits, not only deliberate theft ^{[2] [1]}.

3. Other enforcement and investigative results that provide additional context

OIG enforcement activity in 2023 shows relatively modest monetary recoveries and convictions when compared to the scale of benefit programs: testimony and reports cite more than $34 million in identified fraud loss tied to identity-fraud investigations with roughly $24 million in court-ordered restitution and about $6.5 million recovered in those cases to date, and OIG press releases and semiannual reports list specific criminal cases and monetary accomplishments in the tens of millions ^{[3] [4]}. Administrative sanction activity also continued: SSA recorded 24 administrative sanctions actions in the Disability Insurance program and 59 in SSI for FY2023, a procedural tool that can withhold payments but is separate from criminal prosecution ^[1].

4. Why definitions, reporting practices and institutional factors matter

Comparing numbers requires attention to definitions and reporting pipelines: SSA/OIG’s confirmed-fraud totals represent cases meeting investigative and prosecutorial standards and reported as intentional financial loss, while auditors’ “improper payment” estimates use statistical and programmatic methods to capture both errors and potential fraud over time ^{[1] [2]}. Reporting practices also changed post‑2018 when SSA OIG launched dedicated scam reporting forms—altering complaint volumes—and agency guidance (and a temporary pause on some civil penalty actions ordered in January 2023) affected how cases are pursued and counted, which complicates year‑to‑year comparisons ^{[5] [1]}.

5. Bottom line and open limits in the record

The authoritative, narrowly defined “confirmed fraud” amount reported for FY2023 is $88.05 million, while agency and OIG audit reporting warn that the far larger improper‑payment and uncollected overpayment balances—measured in billions—are not equivalent to confirmed criminal fraud and largely reflect overpayments, recoverables, and administrative issues ^{[1] [2]}. Public discourse often conflates these figures; the available documents show clear distinctions, and reporting limits remain: publicly released summaries and OIG press releases document convictions, recoveries, and scam complaints, but do not translate every improper payment or allegation into verified, prosecutable fraud in a way that would change the confirmed‑fraud total already cited ^{[3] [6]}.