President Donald Trump has kept some campaign promises since returning to the White House for a second term, including not cutting one penny from Social Security or Medicare. However, he has implemented changes impacting the program through his Department of Government Efficiency (DOGE). The agency aims to reduce costs and improve efficiency in federal technology and software.
The SSA has reduced its staffing target by 7,000 employees, resulting in $800 million in savings by fiscal 2025. While this is a significant amount compared to the estimated $6.5 billion in administrative spending, it still pales in comparison to the $110 billion deficit built into the program’s budget.
President Trump wants to eliminate taxes on Social Security benefits, but experts warn that this would accelerate the timeline for the trust fund’s depletion. The current estimate is 2035, but eliminating taxes could bring it two years earlier. A recent budget model from Penn Wharton suggests Social Security could lose $1.5 trillion in revenue over the next decade if Trump eliminates taxes on benefits.
Despite concerns, Congress has historically found solutions to prevent the trust fund’s depletion. However, with reduced timeframes for solving the problem, eliminating taxes on Social Security would still be problematic.
Source: https://www.fool.com/retirement/2025/03/07/social-security-changing-president-trump-retirees