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A new analysis from the Committee for a Responsible Federal Budget has put a precise number on something many people already suspected: most people retiring this decade will collect more from Social Security than they and their employers paid in. Using Congressional Budget Office figures, CRFB finds scheduled benefits equal about 133% of combined payroll taxes on a present-value basis. In plain terms, the typical retiree is slated to get back $1.33 for every $1 contributed, plus interest. Lower-income retirees do even better; the top fifth of earners roughly break even on the combined worker-plus-employer tax. Those numbers are not...

The Washington Post editorial board has apparently recently discovered that Social Security and Medicare are in trouble, and they are shocked, shocked, I tell you! That part is true, and there is no reason to pretend otherwise. This is a fact that anyone not living under a rock has known for a very long time. According to the 2026 Social Security Trustees Report, the Old-Age and Survivors Insurance Trust Fund is projected to exhaust its reserves in late 2032. At that point, incoming revenue would cover only about 78 percent of scheduled benefits. Medicare's Hospital Insurance Trust Fund is projected...

Congress is under growing pressure to rescue Social Security before automatic benefit cuts begin, but one of the nation’s largest advocacy groups says lawmakers shouldn’t rush the process. AARP is urging Congress to reject a fast-track proposal that would accelerate Social Security reform, warning that changes affecting millions of retirees deserve full public debate rather than an expedited legislative process. AARP Pushes Back Against the Promise Act AARP sent a letter to lawmakers opposing the bipartisan Promise Act, arguing that while Congress must act to preserve Social Security’s long-term finances, the proposed timeline risks limiting transparency and public input. The...

The Trump administration is ending a key health insurance subsidy program that aimed to keep premiums for seniors' prescription drug plans in check, claiming that it benefits corporate insurance companies, according to Centers for Medicare & Medicaid Services Administrator Mehmet Oz. Medicare Part D -- the government health insurance program's prescription drug benefit -- is used by tens of millions of older or disabled beneficiaries. The program's subsidies are set to expire at the end of the year, the administration announced Tuesday.

Key takeawaysSocial Security income continues to be subject to federal income tax.A new senior deduction means only about 12% of seniors will pay taxes on their benefits.Nine states impose some income tax on Social Security.Is the income you receive from Social Security taxable? With the recent tax law, Social Security income continues to be taxable, but an additional deduction for seniors may help offset what is owed.Under the recent law, taxpayers age 65 or older—and their spouses, if filing jointly—can each claim a $6,000 deduction for tax years 2025–2028. This senior deduction is reduced by 6% (but not below zero)...

(The Center Square) – A bipartisan group of senators introduced legislation that would fast-track a floor vote on Social Security's looming insolvency, using an independent board to draft a starting plan Congress could no longer easily ignore. The Protecting Retirement Opportunities and Maintaining Income Security for Everyone, or PROMISE Act, would direct the Social Security Advisory Board to submit a base bill guaranteeing at least 50 years of solvency. Congress would then be forced to debate, amend and vote on it within 100 hours, bypassing the inaction that has left the retirement trust fund six years from depletion. Eight senators...

Millions of retirees are set to cash in. The first wave of Social Security checks will hit accounts — or be distributed for those who still love a paper check — on July 8. Typically, payments are issued on Wednesdays and roll out three times a month based on your birthday. This means recipients born from the first to the 10th of the month will get their monthly benefits on Wednesday, July 8, according to the Social Security Administration’s (SSA) payment calendar. Those born from the 11th to the 20th are paid on the third Wednesday, and beneficiaries born after...

Dear Quentin, If all my contributions, along with my employer’s contributions, had been invested in the S&P 500, my balance would be more than $4 million. I could take a very sustainable withdrawal rate of approximately $30,000 a month, assuming my long-term returns were 7%-8%. If only my contributions were invested in the S&P 500, while my employer contributions went to the government, I’d have close to $3.7 million in the account at the end of this year, based on historical averages. I do better than many citizens because I’ve contributed at the highest level. You can email The Moneyist...

🚨 HOLY SMOKES: Sec. Robert F. Kennedy Jr. and Dr. Oz have just announced OVER *ONE MILLION* PEOPLE are on Obamacare with NO Social Security number… 🤯🤯 It’s one big racket! Shut it down! “They submit applications for fake people and enroll stolen identities all to collect millions of dollars in fees from insurance companies for selling plans they never legitimately sold!” “The Obamacare marketplace is plagued by fraud, in large part because the Biden administration dismantled basic program integrity guardrails.” “More than a million people enrolled in Obamacare without social security numbers on file. That is a glaring warning...

With Germany poised to become the latest country to raise its retirement age, that unpopular option may fall on Americans as Social Security faces insolvency in the next six years. Germany’s government-appointed pension commission this week released a series of recommendations to strengthen its pension system, including gradually raising the retirement age to 70 by 2092. The standard retirement age in Germany has already been creeping higher and is set to hit 67 by 2031. The German commission also recommended scrapping a rule that currently allows workers who have contributed for 45 years to retire at 63 without financial penalties....

The Trump administration on Wednesday sent Congress a long-awaited supplemental funding package to help cover the cost of the Iran war. The administration is asking for about $87.6 billion to address "urgent needs" related to the Iran war, as well as other funding to respond to the Ebola outbreak in Central Africa and provide support for American farmers. The request will face an uphill battle and puts vulnerable Republicans in a politically tricky position, since backing it could be seen as support for the unpopular war. It's all but certain to face stiff opposition from Democrats, putting its passage in...

For decades, “The Millionaire Next Door” wasn’t just a book title; it was the ultimate retirement goal. If you could hit seven figures in your 401(k), you were set. You had “made it.” But as we move through June 2026, that legendary $1 million milestone is starting to look less like a finish line and more like a checkpoint.According to the latest Northwestern Mutual 2026 Planning & Progress Study, the average American now believes they need $1.46 million to retire comfortably. That’s a significant jump from just a few years ago, and it signals a massive shift in how we...

Time is officially running out for the crown jewel of America's safety net. Recent projections have determined that the Social Security Old-Age and Survivors Insurance Trust Fund is steadily trending towards its insolvency deadline in 2032. If the clock does in fact run out and Congress stalls to act, federal law mandates an immediate 22% reduction in monthly benefits for nearly 70 million Americans.The average middle-class retiree receives a single $1,900 check each month, meaning this looming statutory trigger represents an overnight loss of more than $400 a month, depleting crucial funds for groceries, utility bills, and prescription medications. Touching...

GRAND RAPIDS, Mich. (WOOD) — After being told her Social Security funds were supporting terrorism, a widow was directed to buy $700,000 in gold — but an alert store owner intervened before crooks could make off with her money, records show. A young man, who was reportedly sent to Michigan from Illinois to fetch the gold, ended up with a bag of chocolate coins and a pair of 20-year felonies instead. “They didn’t know they were getting chocolate gold coins,” said Ben Soldaat, owner of Grand Rapids Coins, who alerted authorities to the suspected scam in early May. “It just...

Social Security is barreling toward a 24% across-the-board benefit cut in 2032 that would slash roughly $500 a month from the average retiree's check — a hit that totals about $345 billion a year nationwide, according to a first-of-its-kind report from the Committee for a Responsible Federal Budget, a Washington fiscal watchdog. Yet as that fiscal cliff draws closer, the Trump administration is simultaneously pushing Wall Street-style Trump Accounts and quietly reshaping the Social Security Administration in ways that already make it harder for millions to access disability benefits. The group warns that without congressional action, "no state would be...

The Trump administration planned to place 2.7 million living people in a so-called death file that would have cut off their ability to work, receive benefits or use banking services as part of an immigration-enforcement push, a former Social Security executive said in a whistleblower lawsuit. Jeremiah Schofield, who worked at Social Security for 25 years before leaving the agency in October, refused to help with the plan after government lawyers warned that falsely marking living people as dead could violate federal law. The latest whistleblower lawsuit comes after the Trump administration entity known as the Department of Government Efficiency...

Social Security’s finances may be in worse shape than thought. The Social Security Trustees — who release a report each year on the health of the program that supports about 70 million retirees and people with disabilities — have been relying on overly optimistic forecasts for future fertility rates, according to a blog report from the Cato Institute. Those forecasts are at odds with projections from the U.S. Census Bureau and the Congressional Budget Office (CBO) — the nonpartisan federal agency that provides Congress with independent analysis of budgetary and economic issues — which both have much more sober forecasts...

A senior citizens group has forecast that the cost-of-living adjustment (COLA) for Social Security payments will increase by 3.9 percent next year, more than 1 percentage point higher than last month’s prediction.The Senior Citizens League, which issues monthly projections on the COLA for Social Security, said in a statement Tuesday the 3.9 percent for 2027 is already higher than the 2.8 percent increase that went into effect in 2026. The group in April had forecast a 2.8 percent increase for next year’s payments.“Fast-rising oil prices could have downstream effects on the economy and push inflation even higher,” potentially leading to...

Six months before Election Day, America’s $39 trillion national debt has moved from an abstract fiscal concern to a dinner-table anxiety… A new national survey released Thursday by the Peter G. Peterson Foundation found that 92% of registered voters are concerned that the national debt is fueling inflation and driving up their personal cost of living, including prices for groceries, energy, housing, and transportation. The figure includes 94% of Democrats, 92% of independents, and 89% of Republicans — a degree of bipartisan alignment rarely seen in today’s fractured political environment… The concern extends beyond deficits in the abstract. Eighty-eight percent...

When someone says a retiree is "living off Social Security," it's not usually $100,000 a year. But some U.S. retired couples will be receiving that much in a few years - and a proposal to cap their benefit at that amount has started a painful and much-needed conversation about who should get government benefits and how much.