U.S. adults who are aware of Social Security’s looming insolvency in 2033 overwhelmingly agree that lawmakers must act soon to curb cuts.
A new study by the Peter G. Peterson Foundation found that while only 30% of Americans are informed about the impending cuts to Social Security, once they’re aware, 97% call on elected leaders to boost the federal program by proposing actionable solutions.
According to the 2024 Social Security Trustees Report, Social Security’s trust fund is expected to be depleted in nine years. Once exhausted, retirees will see a 21% benefit cut, amounting to nearly $17,000 per year for the average couple, notes the Peterson Foundation report.
“The May 2024 Trustees Report confirmed that Social Security is on a rapid path to insolvency, and today’s new survey shows voters want leaders to prioritize solutions to prevent devastating cuts to this essential program,” said Michael A. Peterson, CEO of the Peterson Foundation, in a statement. “These results demonstrate that, while there is more work to do to educate Americans about Social Security’s unstable finances, there is overwhelming support for courageous leaders to take action once the current reality is understood. Voters understand that ‘not touching’ Social Security is not an option because automatic cuts are unacceptable and waiting only makes the problem more costly and difficult to solve.”
According to the U.S. Fiscal Confidence Index, consumer sentiment on Social Security reached a one-year low in May, to 36 out of zero to 200, with 100 being neutral. This was as the index also reported a six-month high of 70% of voters criticizing lawmakers for being “on the wrong track” in addressing debt.
Furthermore, the Index found that 84% of voters want the president and Congress to address national debt, while 77% believe policymakers should make debt a top-three priority.
The Fiscal Confidence Index measures public opinion regarding national debt by asking six questions in three key areas—concerns, priorities, and expectations. Recent findings show that the current score for concern regarding national debt is 27, indicating a deep worry among consumers. Similarly, the score for debt as a priority among lawmakers is 23, while the rank for expectations surrounding the progress on lessening the debt is 59. Still, when asked whether they believed national debt would get better or worse in the next years, 67% of consumers said they expect the latter. Moreover, 56% are pessimistic that the U.S. will be able to make progress on its national debt over the coming years.
Lawmakers have increasingly been called upon to address the national debt and pending Social Security insolvency, especially during an election year that could swing party control.
President Biden has previously pledged to protect Social Security by incorporating additional taxes to wealthy Americans and large corporations, while presidential candidate and former president Donald Trump has expressed scattered stances that have seen him support Social Security benefit cuts at some points and then backtrack at other times.
Meanwhile, other legislators have called on Congress to introduce solutions. One is Oklahoma Republican Congressman Tom Cole, a member of the House Appropriations Committee, who noted that without any policy changes, Americans could face “real cuts that are coming in a decade from now.” “I understand the political benefit of ignoring the impending solvency of Social Security, but we are at a critical point in time,” Cole said in an April 2 column on his congressional website. “If we ignore the very real, scheduled cuts that are coming, beneficiaries will actually see the cuts.”
In the past, Democrat leaders have proposed multiple pieces of legislation to expand Social Security by raising taxes on high earners, while some Republican lawmakers have opposed tax increases towards the wealthy and instead have called on expanding the full retirement age (FRA) for workers.
The Peter G. Peterson Foundation commissioned the poll by the Global Strategy Group and North Star Opinion Research and surveyed 1,000 registered voters. More findings from the report can be found here.
SEE ALSO:
- Why Social Security Fix Needs to Happen Sooner vs. Later: Munnell
- 2025 Social Security COLA Forecast Ticks Up
- Trump and Biden: What the Candidates Say About Social Security
- 9 Years Until Social Security Trust Fund Becomes Depleted
Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
