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2.1.1 Overview effect, an overpayment is a retrospective reassessment (reduction) of pension. The overpayment is the difference between the amount of pension, benefit or allowance actually received by the person, and the amount that the person would have received, had the pension been correctly assessed throughout the period in question. The retrospective reassessment may also include periods of an increased rate, if warranted. Any resultant arrears may directly reduce the overall debt.