A Pennsylvania man could spend up to a decade behind bars after admitting to defrauding the Social Security Administration (SSA) of more than $34,000.
His case underscores not only the serious consequences of omitting information but also the wider problem of Social Security fraud in the U.S.
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The Pennsylvania case
Federal prosecutors say Tarance Benjamin Foster, 68, of Blairsville, applied for Supplemental Security Income (SSI), a program designed to help people with disabilities or limited income. However, Foster failed to disclose his wages [1].
Investigators found that between January 2020 and June 2025, Foster was employed by nine different companies while also collecting SSI checks.
Court records show that Foster ultimately received $34,000 in benefits he wasn’t entitled to. He pleaded guilty to SSI fraud and theft of government property and now faces sentencing in January 2026. The maximum penalty for SSI fraud is 10 years in prison, a $250,000 fine, or both.
This case is a textbook example of concealing personal information. Since Foster failed to disclose his wages, he received benefits reserved for people with no other financial support.
Read more: How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement
Other types of Social Security fraud
Fraud against the SSA comes in many forms. Not all cases involve deliberate concealment of income. Some of the main categories include:
- Representative payee fraud: When someone appointed to manage a beneficiary’s funds instead uses the money for themselves.
- Benefits fraud:Submitting false or misleading information to qualify for benefits that shouldn’t be granted.
- Illegitimate deceased benefits fraud:Continuing to collect payments after a beneficiary has died, often by a family member who fails to notify the SSA.
In 2021, a woman in Florida collected her mother’s Social Security checks for years even after her mother had passed away [2].
Another case in Michigan involved a man who pocketed nearly $110,000 while serving as a representative payee for his disabled brother, using the funds for personal expenses instead of care [3].
Each scheme drains taxpayer dollars and puts additional strain on a system that supports more than 70 million Americans, including retirees, disabled individuals and low-income households [4].
While a single case may not derail the program, fraud siphons off billions of dollars intended for legitimate beneficiaries.
What to do if you’ve made a mistake
Not every incorrect SSI or Social Security report is malicious. The SSA requires beneficiaries to report changes in income, marital status, living arrangements, or employment promptly, but many people overlook small details.
If you realize you’ve made an error:
- Contact the SSA immediately. Call your local office or the national helpline to report the mistake. The sooner it’s corrected, the less severe the penalties will be.
- Keep documentation. Provide pay stubs, bank records, or other evidence to show transparency.
- Prepare to repay overpayments. If you were given more than you should have received, the SSA will likely ask for repayment. Setting up a payment plan can prevent legal escalation.
- Seek professional help if needed. Attorneys and Social Security advocates can guide you through correcting reports or appealing repayment requests.
When it comes to Social Security paperwork, the safest strategy is to err on the side of over-disclosure. If you receive a benefit payment that looks incorrect, double-check with the SSA.
Foster’s case shows how failing to disclose one “small” detail can spiral into federal charges and a possible prison sentence.
For most Americans, being proactive and honest with the SSA isn’t just good practice — it’s the only way to stay protected.
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[1]. WTJA. “PA man pleads guilty to federal charges after collecting $34,000 in improper SSI benefits”
[2]. AP. “Woman sentenced for collecting dead mom’s social security”
[3]. Office of the Inspector General. “New Jersey man charged with stealing Social Security disability benefits intended for his Brother”
[4]. The Guardian. “Former US social security head predicts ‘interruption of benefits’ amid Doge cuts”
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.