{"id":69093,"date":"2025-08-09T03:09:16","date_gmt":"2025-08-09T03:09:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/69093\/"},"modified":"2025-08-09T03:09:16","modified_gmt":"2025-08-09T03:09:16","slug":"social-security-funds-will-deplete-earlier-than-expected-chief-actuary-warns","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/69093\/","title":{"rendered":"Social Security funds will deplete earlier than expected, chief actuary warns"},"content":{"rendered":"<p>The chief actuary for <a href=\"https:\/\/san.com\/cc\/to-retire-in-a-large-city-social-security-might-not-be-enough-report\/\" rel=\"nofollow noopener\" target=\"_blank\">Social Security<\/a> says that President Donald Trump\u2019s One Big Beautiful Bill Act (OBBBA) will increase the program\u2019s costs starting in 2025, causing the combined Social Security trust funds \u2014 Old-Age and Survivors Insurance (OASI) and Disability Insurance (DI) \u2014 to run out of money earlier than previously projected.<\/p>\n<p>Trust funds now expected to be depleted in early 2034<\/p>\n<p>In a <a href=\"https:\/\/www.finance.senate.gov\/imo\/media\/doc\/wyden_letter_20250805_finalpdf.pdf\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">letter<\/a> sent Tuesday to Senate Finance Committee Ranking Member Ron Wyden, D-Ore., Chief Actuary Karen Glenn stated that the trust funds are now expected to be depleted in 2034.<\/p>\n<p>\t\t<img loading=\"lazy\" decoding=\"async\" class=\"wp-block-san-app-download__qr\" src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2025\/07\/app-download-block-qr-code.png\" alt=\"QR code for SAN app download\" width=\"80\" height=\"80\"\/><\/p>\n<p class=\"wp-block-san-app-download__title\">\n\t\t\tDownload the SAN app today to stay up-to-date with Unbiased. Straight Facts\u2122.\t\t<\/p>\n<p class=\"wp-block-san-app-download__subtitle\">\n\t\t\tPoint phone camera here\t\t<\/p>\n<p>Glenn\u2019s letter was in response to a question from Sen. Wyden, who asked her to explain how OBBBA would affect Social Security\u2019s trust funds.<\/p>\n<p>Lower taxes, less income for Social Security<\/p>\n<p>Chief Actuary Karen Glenn said permanently lower income tax rates and temporary changes to tax deductions will impact how much money the Social Security trust funds receive. So, if people pay less in income taxes due to OBBBA, less money will flow into Social Security.<\/p>\n<p>\u201cThe combined net effect of these income tax provisions results in less overall tax liability for Social Security beneficiaries,\u201d Glenn wrote.<\/p>\n<p>Costs over next decade<\/p>\n<p>Over the next 10 years, Glenn says OBBBA will increase the cost to Social Security by about $168.6 billion. Because of these higher costs, the money in the Social Security trust funds will run out sooner than expected.<\/p>\n<p>When that happens, if Congress and the president don\u2019t act, Social Security will be required to cut benefits automatically, because it won\u2019t be allowed to spend more than it takes in.<\/p>\n<p>Shift in depletion timeline<\/p>\n<p>Before OBBBA, the trust funds were expected to be depleted in the third quarter of 2034, which is July through September. After OBBBA, they\u2019re now expected to run out in the first quarter of 2034, which is January through March.<\/p>\n<p><a href=\"https:\/\/www.ssa.gov\/policy\/docs\/quickfacts\/stat_snapshot\/#:~:text=For%20detailed%20annual%20and%20time,Table%203.\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">According to the Social Security Administration<\/a>, as of June 2025, just under 70 million people receive Social Security benefits.<\/p>\n<p>\t\t\t\t\tMathew Grisham (Digital Producer)<br \/>\n\t\t\t\t\t\t\tcontributed to this report.<\/p>\n","protected":false},"excerpt":{"rendered":"The chief actuary for Social Security says that President Donald Trump\u2019s One Big Beautiful Bill Act (OBBBA) will&hellip;\n","protected":false},"author":2,"featured_media":69094,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39],"tags":[2140,28,29917,12,29918,9029,15134,29919,147,530,111,48315,29920,733,50197,9799,2830,29921],"class_list":["post-69093","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-big-beautiful-bill","tag-business","tag-distro","tag-donald-trump","tag-imds","tag-news-update","tag-newsbreak","tag-oovvuu","tag-personal-finance","tag-personalfinance","tag-politics","tag-ron-wyden","tag-smartnews","tag-social-security","tag-text-only","tag-u-s-congress","tag-u-s","tag-ve"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/69093","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=69093"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/69093\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/69094"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=69093"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=69093"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=69093"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}