Treasury Blocks Nearly $100 Million in Federal Payments to Deceased People

Key Facts

Published: July 21, 2026 Location: Washington D.C. Source: U.S. Department of the Treasury, New York Post

• Treasury blocked approximately $99 million connected to deceased recipients.
• More than 4,900 improper payments were identified before funds were released.
• Officials estimate the expanded verification program could save taxpayers $330 million.

by Emmitt Barry, Worthy News Washington D.C. Bureau Chief

WASHINGTON, D.C. (Worthy News) – The U.S. Treasury Department has blocked approximately $99 million in federal payments intended for people who were already dead, officials announced Tuesday.

Treasury’s Bureau of the Fiscal Service identified more than 4,900 questionable payments after screening over 885 million federal transactions valued at approximately $2.77 trillion. The payments were returned to the originating agencies for review before taxpayer funds were released.

The enhanced screening system uses the Social Security Administration’s Full Death Master File and Treasury’s “Do Not Pay” program to identify deceased recipients before payments are processed.

Treasury Secretary Scott Bessent said the safeguard fulfills President Donald Trump’s commitment to stop fraud and improper payments before money leaves the federal government.

“This new safeguard addresses a longstanding vulnerability and helps ensure every dollar the federal government spends reaches its intended recipient,” Bessent said.

Congress granted Treasury permanent access to federal death records through the Ending Improper Payments to Deceased People Act, which Trump signed in February. Treasury estimates the expanded screening program could produce approximately $330 million in net savings between 2024 and 2026.

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