In this photo illustration, a Social Security card sits alongside checks from the U.S. Treasury on October 14, 2021 in Washington, DC. (Photo illustration by Kevin Dietsch/Getty Images)
The Social Security Administration (SSA) provided its latest projections Tuesday for when its reserve funds are expected to run out and when those collecting old-age or survivor benefits could see their monthly checks slashed significantly.
Big picture view:
The report by the Social Security Board of Trustees indicates that the Old-Age and Survivors Insurance (OASI) Trust Fund will be depleted in the fourth quarter of 2032. After that time, the SSA would only be able to pay 78% of the benefits promised.
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By the numbers:
The number of people receiving SSA benefits at the end of 2025 rose to 70 million, with the federal agency paying out approximately $1.60 trillion over the course of the year. In that time, it only collected $1.45 trillion in taxes and interest.
The $160 billion gap between the two numbers dropped the balance of two trust funds to $2.56 trillion.
What they're saying:
"To protect the promise of Social Security, it is important for lawmakers and the Social Security Administration to work together to ensure the trust funds continue to provide financial stability now and for future generations," said Social Security Commissioner Frank J. Bisignano.
Dig deeper:
The other Social Security trust fund, which supports Disability Insurance, is expected to remain in the black through the end of the century, which was as far into the future as the 75-year report went.
If the SSA were allowed to combine the two trust funds, it would be able to pay full benefits until 2034 and then 83% of benefits after that.
The Source: Information for this article was taken from the Social Security Board of Trustees. This story was reported from Orlando.