Social Security represents more than just a monthly check for most retired Americans, serving as a vital financial foundation that many struggle to live without. A recent surge in claimings has raised concerns about the program’s sustainability.
According to Gallup surveys, eight out of 10 retirees consider Social Security income essential to making ends meet. The Trump administration’s changes, including an executive order ending paper checks and altering personal identification methods, may have prompted some retirees to file for benefits now.
However, the true cause behind the record pace of claimings lies in Social Security’s worsening financial outlook. The program’s asset reserves are projected to be depleted by 2033, which would mean unsustainable payout schedules unless reforms are made. Sweeping benefit cuts of up to 21% may be necessary by 2033.
Early filers may inadvertently jeopardize their future benefits by claiming now. A study found that only a small percentage of retirees optimize their Social Security lifetime benefit by delaying collection until age 70. In contrast, waiting to collect can significantly increase lifetime payouts for many retirees.
The significance of this surge in claimings cannot be overstated, as it signals an ominous sign for the program’s health and a potential threat to early filers’ financial foundations.
Source: https://www.fool.com/retirement/2025/06/14/retirees-file-social-security-surging-under-trump