Social Security Trust Fund Projected to Pay 78 Percent of Benefits After 2032 Depletion Date

The Old Age and Survivors Insurance trust fund is now projected to begin depleting in the fourth quarter of 2032, according to the 2026 Annual Report of the Board of Trustees issued Tuesday, June 9. After depletion begins, the fund would cover 78 percent of scheduled benefits for the remainder of 2032 and 62 percent of scheduled benefits from 2033 through 2100, the report states.

More than 56 million Americans receive retirement and survivor benefits from Social Security each month, with payments drawn from payroll taxes and interest credited to the OASI trust fund.

The trustees cited changes in fertility rates, immigration, economic conditions, and legislation passed since last year as factors that altered the assumptions underlying the new projections. The four trustees are Treasury Secretary Scott Bessent, Health and Human Services Secretary Robert F. , Social Security Commissioner Frank Bisignano, and acting Labor Secretary Keith Sonderling.

The trustees said lawmakers could address the shortfall by raising the payroll tax rate, lowering benefits, changing eligibility requirements, or combining those measures. Ryan Swartz, partner and managing director of Creative Planning, told ABC News that the issue is whether Congress acts before automatic benefit reductions begin. Brett Loper, executive vice president for policy at the Peter G.

Tyler End, CEO and co-founder of Retirable, said the timeline means "the rubber is hitting the road" and urged workers nearing retirement to reassess plans without making immediate large changes. Swartz advised near-retirees to maintain consistent saving and diversify income sources rather than base decisions solely on the new projection.