2026 SS Trustees Report

[USGrant1962]

The new 2026 Trustees Report was issued. Current projection is that OASI can pay 78% of scheduled benefits starting the 4th quarter of 2032, so a 22% cut that I understand increases over time. From the press release:

The OASI Trust Fund reserves are projected to become depleted in the fourth quarter of 2032, with 78 percent of benefits payable at that time. The DI Trust Fund reserves are projected to remain positive throughout the 75-year projection period.

In the 2026 Annual Report to Congress, the Trustees announced:

• The reserves of the combined OASI and DI Trust Funds declined by $160 billion in 2025 to $2.56 trillion.
• The annual cost of the program is projected to exceed annual income in 2026 and remain higher throughout the 75-year projection period. Total cost began to be higher than total income in 2021. Social Security's cost has exceeded its non-interest income since 2010.
• If Congress does not act, combined trust fund reserves are projected to be depleted in 2034. At that time, there would be sufficient income to pay 83 percent of scheduled benefits.

Press release is here: https://www.ssa.gov/news/en/press/releases/2026-06-09.html

Trustee's Report: https://www.ssa.gov/OACT/TR/2026/

 

[Koolau]

At age 85, I wonder if I'll even notice. Definitely heading into the no-go years. If I need the money, likely it will be for LTC.

 

[harllee]

Some on this Forum may not notice a 22% cut in SS but I will! I waited until age 70 to collect SS and my monthly payments are almost $5000 so a 22% cut would be $1100!! I know some people who live entirely off SS and a 22% cut would be huge for them.

 

[ShokWaveRider]

Do we expect anything to be done about it before 2nd quarter 2032?

 

[camfused]

^^^ Absotively not!

 

[MichaelB]

How does this differ from the previous report of 2025? This has been a very heavily discussed topic and I’m sure members would appreciate a summary of the changes.

 

[Dtail]

^^^ Absotively not!

I vote yes but not until the very end.

 

[crule42]

From 2025 report (https://www.ssa.gov/news/en/press/releases/2025-06-18.html):

• The reserves of the combined OASI and DI Trust Funds declined by $67 billion in 2024 to a total of $2.72 trillion.
• The total annual cost of the program is projected to exceed total annual income in 2025 and remain higher throughout the 75-year projection period. Total cost began to be higher than total income in 2021. Social Security's cost has exceeded its non-interest income since 2010.
• If Congress does not act, combined trust fund reserves are currently projected to become depleted in 2034. At that time, there would be sufficient income coming in to pay 81 percent of scheduled benefits.

From 2026 report (https://www.ssa.gov/news/en/press/releases/2026-06-09.html):

• The reserves of the combined OASI and DI Trust Funds declined by $160 billion in 2025 to $2.56 trillion.
• The annual cost of the program is projected to exceed annual income in 2026 and remain higher throughout the 75-year projection period. Total cost began to be higher than total income in 2021. Social Security's cost has exceeded its non-interest income since 2010.
• If Congress does not act, combined trust fund reserves are projected to be depleted in 2034. At that time, there would be sufficient income to pay 83 percent of scheduled benefits.

 

[JBTX]

I know of no reason why a law could not be passed to allow social security to borrow from the general fund. It basically just transfers one problem (social security shortfall) to a different problem (ongoing budget deficits ) but at this point it is hard to see anybody agreeing to meaningful changes, and I don’t think a permanent reduction will stand, although I’m sure the issue will be milked for everything it is worth until the money runs out.

 

[jazz4cash]

Means test.

 

[Winemaker]

To quote my teenage son twenty years ago, " if it wasn't for the last moment, nothing would ever get done". Do not fret, the issue will get solved.

 

[Mulligan]

Means test.

The various current irrelevant suggestions has that as one of the major options in various ways. Although I am not a high net worth guy relatively speaking I am in terms of annual income, so this could possibly put me in cross hairs. Plus I was a recent modest beneficiary of the WEP elimination. So my solution is I am grabbing at 62 and scrapping the shekels off the table now and investing the proceeds.

 

[frank05]

At my old company we called it the “diving catch award”.You wait til the last minute and jump in to fix a problem, you typically caused in the past. You always got an award.

 

[rk911]

At age 85, I wonder if I'll even notice. Definitely heading into the no-go years. If I need the money, likely it will be for LTC.

I'll be 83 but we have enough socked away to handle most anything. Color me 'not worried'...about that anyway.

 

[NanoSour]

Nothing like some good fear porn. SS will just get added to deficit spending like every other government program. It's all smoke and mirrors.

 

[GenXguy]

I mentioned this in an earlier post in another thread along with the Medicare A solvency and how my retirement budget accounts for a 25% haircut in SS's promised benefit and healthcare increasing faster than CPI. I got a response that I was panicking. lol

 

[Fermion]

Means test.

Then the best thing to do would be to blow all of your money but delay SS to age 70. Live large!

 

[Sunset]

Means test.

I call it the Mean test.

 

[Sunset]

Then the best thing to do would be to blow all of your money but delay SS to age 70. Live large!

Yes, once again society rewards the careless, reckless, live for today members..

 

[GenXguy]

• If Congress does not act, combined trust fund reserves are projected to be depleted in 2034. At that time, there would be sufficient income to pay 83 percent of scheduled benefits.

Strange that says "if Congress does not act", because Congress has to act to combine the funds, which the rest of the statement refers to.

 

[Mulligan]

Sunset, Dont be too hard on those people. Someone has to save us from the “Paradox of Thrift”, ha.

 

[Koolau]

Cynicism has been authorized!

 

[Al18]

I typed a full response, but erased it because it violated the forum rules. You can image what it said.

 

[Koolau]

I typed a full response, but erased it because it violated the forum rules. You can image what it said.

I'm guessing several of us here did the same thing - and deleted.

 

[JBTX]

I typed a full response, but erased it because it violated the forum rules. You can image what it said.

I suspect it was something along the lines of you don’t really need the SS and you’d be happy to have your personal benefits cut and higher taxes to do your part to fix it.