Social Security faces possible 22% benefit cut in six years without government action

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โดย The Motley Fool·Read original
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Social Security could see a 22% benefit cut in just six years if Congress fails to address the program's funding shortfall. The latest Trustees' Report estimates that a payroll tax increase of 4.25% would be needed if enacted in 2026 to fully eliminate the shortfall, rising to 4.90% if lawmakers wait until 2034. Partisan gridlock and the political pain of either raising taxes or reducing benefits have stalled action, even as the deadline approaches. Experts urge individuals to focus on personal retirement savings and prepare contingency plans in case benefits are reduced.

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