Can Elon Musk and Doge Take Away My Social Security Benefit? #247
In this episode, I address listener concerns about the future of Social Security, especially given recent changes under President Trump's administration and the involvement of the Department of Government Efficiency (Doge).
I’ll dive into the current state of Social Security, the potential impact on your benefits, and how you can maximize those benefits moving forward. With solvency concerns looming, I’ll help you better understand what’s at stake and how to make smart decisions for your retirement.
You will want to hear this episode if you are interested in...
(0:00) Can Elon Musk and Doge Take Away My Social Security Benefit?
(1:33) Please rate and review the Retire with Ryan podcast!
(2:21) What is Doge and how it could impact Social Security
(3:55) The role of Congress in controlling Social Security
(5:38) What is the future of Social Security solvency?
(8:26) Why waiting to collect Social Security could increase your benefits
(10:20) The earnings limits when collecting Social Security early
What is Doge and How Could it Impact Social Security?
Lately, we’ve seen growing concern about the Department of Government Efficiency (Doge), led by Elon Musk, and its potential impact on Social Security. Doge is focused on eliminating waste and fraud in government programs, including Social Security.
However, I want to reassure you that it's unlikely this will result in major cuts to Social Security benefits. In fact, President Trump has been advocating for faster delivery of benefits, not reductions. That said, it’s crucial to stay informed about the potential changes and understand how they may affect you in the future.
The Role of Congress in Controlling Social Security
It’s important to note that Congress has the ultimate say over Social Security. The formulas that determine benefits, cost-of-living adjustments (COLA), and funding mechanisms all come from legislation passed by Congress.
This means that any significant changes to Social Security—whether it’s cutting benefits or altering the eligibility criteria—would require an act of Congress. This makes it unlikely that any single entity, like Doge or even the President, could unilaterally make sweeping changes to the system.
Social Security’s Solvency: The Coming Challenges
I know a lot of people are worried about the future of Social Security, and for good reason. According to the latest report from the Social Security Trustees, by 2035, there would be an 18% cut in benefits if Congress does nothing. While this is concerning, it’s not something we need to panic over just yet.
History shows that Congress has stepped in to make necessary adjustments, like they did in the 1980s. The reality is that Social Security is likely to be around for the foreseeable future, but there may be some tough decisions ahead to ensure its solvency.
Why Waiting to Collect Your Benefits Can Be Beneficial
One of the biggest decisions you’ll face in retirement is when to start collecting your Social Security benefits. My advice? Consider waiting as long as possible to claim them. For every year you delay past your full retirement age, your monthly benefit increases by about 7%.
Plus, waiting means you’ll receive higher cost-of-living adjustments (COLA), which can help offset inflation. Over time, this can add up to a significantly higher monthly benefit. So, if you can afford to wait, it could be well worth it.
Resources Mentioned
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