Is Social Security almost broke?

No, Social Security is not "going broke" or bankrupt, but it faces a long-term funding shortfall, meaning it won't be able to pay 100% of scheduled benefits after its trust fund reserves are projected to run out (around the mid-2030s, estimates vary slightly by year). Even then, ongoing payroll taxes would still cover a significant portion (around 76-80%) of benefits, requiring congressional action—like tax increases or benefit adjustments—to ensure full payments.

How likely is it that Social Security will go broke?

Introduction. As a result of changes to Social Security enacted in 1983, benefits are now expected to be payable in full on a timely basis until 2037, when the trust fund reserves are projected to become exhausted.

What does Warren Buffett say about Social Security?

Warren Buffett's core message on Social Security is that cutting benefits is a major mistake, as a rich country must care for its elderly, but he acknowledges the system's financial challenges and suggests solutions like raising the taxable income cap for Social Security taxes, slightly increasing the payroll tax, and gradually raising the retirement age, urging Congress to act before trust fund insolvency forces drastic cuts. He sees Social Security as a vital, successful government program that needs responsible adjustments, not benefit reductions. 

Is Social Security at risk in 2025?

The brief's key findings are: The 2025 Trustees Report shows a modest increase in Social Security's 75-year deficit, while the depletion date for the retirement trust fund remains at 2033.

Why is Social Security struggling?

Social Security isn't exactly "failing," but faces a significant long-term financial shortfall due to demographic shifts (more retirees, fewer workers) and changing economics, projected to deplete its trust fund by the mid-2030s, leading to potential benefit cuts if Congress doesn't act, likely requiring a mix of revenue increases (like raising the payroll tax cap) and benefit adjustments (like raising the retirement age). 

Social Security is BANKRUPT—Here’s What Happens Next

Why won't Congress fix Social Security?

Both parties have been reluctant to move Social Security legislation because doing so would come with political pain: raising taxes or cutting benefits. Even so, there are several powerful reasons for Congress to tackle Social Security solvency in 2025.

How much do you have to make to get $3,000 a month in Social Security?

To get around $3,000/month in Social Security, you generally need a high earning history, around $100,000-$108,000+ annually over your top 35 years, but waiting to claim until age 70 maximizes this amount, potentially reaching it with lower yearly earnings, say under $70k if you wait long enough, as benefits are based on your highest indexed earnings over 35 years. The exact amount depends heavily on your specific earnings history and the age you start collecting benefits. 

What is the highest Social Security check anyone can get?

The maximum Social Security benefit varies by retirement age, with the highest possible monthly amount in 2026 being around $5,181 if you wait until age 70, while claiming at Full Retirement Age (FRA) yields about $4,152, and claiming at age 62 results in approximately $2,969. To get the maximum, you must have earned the taxable maximum for at least 35 years, had significant earnings above the annual wage base ($184,500 in 2026), and delayed claiming benefits past your FRA. 

What will happen if Social Security goes away?

Reduced Benefits

If no changes are made before the fund runs out, the most likely result will be a reduction in the benefits that are paid out. If the only funds available to Social Security in 2033 are the current wage taxes being paid in, the administration would still be able to pay around 75% of promised benefits.

What does Suze Orman say about when to take Social Security?

Suze Orman strongly advises waiting as long as possible to claim Social Security, ideally until age 70, to maximize your monthly benefit, explaining that delaying provides a significant guaranteed annual increase (around 8%) and offers crucial inflation protection for a longer retirement. While some suggest claiming at 62 and investing the money, Orman counters that most people don't invest it and end up with less income long-term, emphasizing that a higher monthly check with cost-of-living adjustments (COLAs) is a better, more secure financial tool, especially for the surviving spouse. 

What did Dave Ramsey say about Social Security?

Dave Ramsey's Social Security advice centers on claiming benefits at the earliest age, 62, and investing that money to grow, arguing it can outperform waiting for a larger monthly check, especially for those with sufficient other retirement savings and discipline to invest wisely. This contrasts with standard advice to delay for higher guaranteed payments, but Ramsey views Social Security as a supplement, not the main retirement income, suggesting taking the early cash flow for investment growth while focusing on building wealth outside the government system. 

Is there a market crash coming in 2026?

While no one can predict a crash with certainty, some analysts see risks for a market downturn in 2026 due to factors like high valuations (especially in AI), potential economic shifts, and historical patterns around midterm elections, while others remain optimistic, pointing to strong AI growth and potential Fed rate cuts, suggesting a volatile but perhaps manageable year with potential pullbacks rather than a full crash. Options trading shows a low but non-zero chance (around 8-10%) of a significant drop, but also a higher chance of large gains, indicating mixed investor sentiment. 

Does Oprah Winfrey collect Social Security?

Whether Oprah actually collects Social Security is unknown since she hasn't made that information public. But if she does, her check wouldn't be dramatically larger than what high-earning professionals receive. The system caps out at around $5,000 per month regardless of how wealthy you are.

What did President Johnson do to Social Security?

President Lyndon B. Johnson significantly expanded Social Security in the 1960s, most notably by signing the 1965 Amendments that established Medicare (health insurance for the elderly) and Medicaid, while also increasing benefits, broadening disability criteria, and adding coverage for other groups, though he also shifted Social Security's accounting into the general budget. 

What big changes are coming to Social Security in 2026?

Starting January 2026, around 75 million Americans will receive a $56 increase in monthly Social Security benefits. The Social Security Administration announced a 2.8% cost-of-living adjustment (COLA) for the upcoming year, a slight uptick from the 2.5% raise the year before.

What is happening on March 31, 2025 with Social Security?

At the conclusion of the transition period, on March 31, 2025, SSA will enforce online digital identity proofing and in-person identity proofing. SSA will permit individuals who do not or cannot use the agency's online “my Social Security” services to start their claim for benefits on the telephone.

What's changing with Social Security in 2025?

The COLA was 2.5 percent in 2025. Nearly 71 million Social Security beneficiaries will see a 2.8 percent COLA beginning in January 2026. Increased payments to nearly 7.5 million people receiving SSI will begin on December 31, 2025.

How much Social Security will you get if you make $60,000 a year?

If you consistently earn around $60,000 annually over your career, you can expect a monthly Social Security benefit of roughly $2,100 to $2,300 at your full retirement age (FRA), but the exact amount varies by your birth year and claiming age; for instance, at FRA, it's around $2,311 based on 2025 bend points, while claiming at 62 yields less and claiming at 70 yields more, with an official estimate available on the Social Security Administration (SSA) website. 

What would happen if the Trump tax cuts expire?

If the individual tax cuts expire, taxpayers in all income groups would face higher and more complicated taxes. Machinery and equipment expensing is a key provision that, if allowed to expire, would especially harm capital-intensive industries like manufacturing.

Can you get $3,000 a month in Social Security?

Yes, getting $3,000 a month from Social Security is possible, especially by waiting until age 70 to claim benefits and having consistently high earnings, though it's near the maximum for many, requiring strong earnings over 35 years to hit that amount, as shown in U.S. News Money articles, Social Security Administration FAQs, Experian and other sources. 

How many people have $1,000,000 in retirement savings?

Data from the Federal Reserve's Survey of Consumer Finances, shows that only 4.7% of Americans have at least $1 million saved in retirement-specific accounts such as 401ks and IRAs. Just 1.8% have $2 million, and only 0.8% have saved $3 million or more.

Who qualifies for an extra $144 added to their Social Security?

You qualify for an extra ~$144 on your Social Security check if you have a Medicare Advantage (Part C) plan with a "Part B Giveback" benefit, which refunds some or all of your Medicare Part B premium, appearing as extra cash in your check, but eligibility depends on living in the plan's service area and paying your own Part B premiums. The "144" figure was common when the Part B premium was around that amount, but the actual refund varies by plan and location, potentially exceeding the full premium. 

What is one of the biggest mistakes people make regarding Social Security?

Claiming Benefits Too Early

One of the biggest mistakes people make is claiming Social Security benefits as soon as they're eligible, which is at age 62. While getting money sooner can be tempting, claiming early has a significant downside: your monthly benefit will be reduced.

What is a good pension amount?

A good pension amount replaces 70-80% of your pre-retirement income, meaning if you earned $100k, aim for $70k-$80k annually, but it varies; a comfortable monthly income is often cited around $4,000-$8,000+, depending on lifestyle, location, and other income sources like Social Security, with many financial experts suggesting a total retirement income replacing about 80% of your final salary for stability.