📋 Social Security Payments Are Protected, Officials Tell AARP (AARP Article)

[Winter2025VA]

FROM THE ARTICLE: New Administration Tells AARP Social Security Payments Are Protected.

67 million Americans receive benefits that they have earned.

By Andy Markowitz, AARP.

Published February 12, 2025.

As the new administration works to quickly implement the agenda President Donald Trump outlined on the campaign trail, some AARP members have raised questions about protecting Social Security and Medicare.

Bill Sweeney, AARP’s senior vice president for government affairs, has been in regular contact with administration officials. Amid potentially sweeping changes in how the federal government operates, we asked Sweeney about what he’s hearing and how AARP is fighting to protect Social Security and Medicare and ensure that people 50-plus are heard. The conversation has been edited for length and clarity.

USE LINK BELOW TO READ THE ARTICLE: https://www.aarp.org/politics-society/advocacy/info-2025/social-security-payments-protected.html

[WebWiseWoman]

Great to read this; thanks for posting.

But now I worry as AP reports "FEMA yanks back $80 million that New York City meant to cover hotel costs for migrants" 

According to the report, the funds were re-directed to accounts they should have been and somehow these accounts were found and funds removed...

Just writing, I move my money to savings after paying rent to protect it; now we know someone can find our savings accounts and take that as well?

I know my amounts appear minuscule but multiply that by millions of retirees?

[GAKKIEZ]

It appears that some of the more 'vocal' members enjoy the continued fake outrage, silly whining/crying, and hand wringing about the new administration's review and oversight.  GET OVER IT!  It's all completely within the law and not being abused!  WE THE PEOPLE elected the new administration with full mandate for just this!

Congress is also in the midst of preparing a new budget to be passed prior to 22 March 2025 with full disclosure and transparency.

The current administration is far more transparent and truthful about all actions taking place than the previous one that kept reporting "the border is closed", "the president is alert and running rings around all his staff". 

Get on board or GET OUT OF THE WAY!

[pmhinton]

 Hello. I was hoping for a civil discussion about AARP's role in protecting senior citizens. It's not necessary to dismiss real concerns of real people - even if you disagree with their opinions. 

[GailL1]

Social Security benefits of Old Age Retirement including Spousal benefits, Survivors Benefits and Social Security Disabiltiy benefits are ALL protected by law and have dedicated funding sources which pay for them.  So any change to the Social Security system has to go thru Congress.

The Social Security Administration also handles Supplemental; Security Income (SSI) which is a welfare program for the blind, the elderly and the disabled who have not been vested into the Social Security System or have a very minimal benefit.  The funding for this comes from the General Fund or taxpayers.  

Our concerns should be

1.  That Congress acts to shore up funding for the Social Security System because the Trust Fund is running out of money - D-Day about 2032-2035.

SSA.gov 2024 Social Security and Medicare Trustee Report Summary 

Our concern here is that Congress will act but they haven’t for the last 10 years and this has been forecasted every year since 2010 - There are ton of solutions that have been proposed but the only thing they have done is to increase some benefits and make the matters even worse.

2. That our government does not go broke 

pgpf.org - 01/22/2025 - Any Way You Look at It, Interest Costs on the National Debt Will Soon Be at ... 

from the link -

The most recent projections from the Congressional Budget Office (CBO) confirm once again that America’s fiscal outlook is on an unsustainable path — increasingly driven by higher interest costs. Growing debt, in addition to the rise in interest rates over the past couple of years, has significantly increased the cost of federal borrowing. In 2024, interest costs on the national debt totaled $881 billion — surpassing most other components of the federal budget.

In 2025, the interest payment on only the debt is estimated to be $ 952 BILLION - that is almost a Trillion dollars that has to be paid just for the INTEREST ON THE DEBT.

Here again, it is Congresses roll to hold down cost and increase revenues - they have done neither.

We have a government that does not work -their solution always seems to be that somebody else should pay.  Seems to me we are ALL in this together.  

[BalbonisMoleskine]

No. 1 is at odds with No. 2 (such as increasing the income cap), as another AARP member explained:

"Removing the cap will increase the National Debt by $300 Billion per year and increase the interest payments on the National Debt. The reason: The $300 Billion will be annual excess funds and the SS Trust, by law, has to buy special Treasury bonds with that money. That transfers the funds to the Treasury General Fund just like when someone buys a savings bond. That means the $300 Billion is available to Congress to spend as they please. The annual excess will keep growing each year and the interest will grow exponentially. Removing the cap is bad financial management."

And when the T bonds are redeemed, it increase the debt and deficit: 

https://www.usatoday.com/story/news/factcheck/2023/02/08/fact-check-social-security-does-contribute-...

[Tonster521]

@BalbonisMoleskine As you know, Congress does not have to spend the $300 Billion on any project that cross their desk. Although that has been their approach in the past, the $300 Billion can be used to remove matured Treasuries from its balance sheet. This will not only reduce the deficit, but also reduce the interest cost. Obviously, Congress will be adding Special Issue Treasuries to the SS Trust which are essentially book entry that only pay interest when redeemed. Those Special Issue Treasuries are laddered over time and will reduce the unfunded liability for the SS Program. 

I am not sure what is the exact amount of unfunded liability, but have seen amounts between $20 to $25 Trillion for the 75 year projection. So, at $300 Billion per year, it is a step in the right direction.

On another thread, I provided a link that reported the results of the "Greenspan Commission" which was a non-partisan group formed by President Reagan in December 1981 to address the depletion of the SS Trust estimated to reach zero ($0.00) around August 1983. The Greenspan Commission's report was the basis for the 1984 Amendments to provide a 75 year SS funding plan. However, the report indicated that their recommendations were only about 66.7% complete and around 2010 either an increase in the FICA tax rate was needed (6.2% to 6.5%) or a cut in SS Benefits for the last leg (33.3%) of the 75 year SS funding plan. As you know, nothing happened. In fact, recently Congress increased the unfunded liability by providing certain government pensioners with bonus SS  payments on top on their "gold plated" pensions.And, Congress did not require one penny of additional FICA tax has to be paid or funding from the Treasury General Fund. Is that inept financial management or "buying a vote"? Congress needs to be held accountable for funding the SS Program for 75 years and more.  

[BalbonisMoleskine]

As you know, of course Congress will spend that $300 billion on the myriad things that constituents -- including the elderly -- are clamoring for, such as highways, cancer research, national parks, education, aid to [insert country or cause] and "the poor," to name just a few.

[WebWiseWoman]

Thanks for the post.

Kinda mind-boggling to me someone as supposedly politically savvy as his "LinkedIn" resume  presents would actually trust anything "administration officials" who might be gone tomorrow relay to him...

[js88134339]

Between RFK Jr And the DOGE, I am terrified about my future. We have seen that the Senate is afraid to stand up to the president, and the president defers to an unelected naturalized citizen to make all the decisions, and his only interest is cutting the deficit and making even more money. I am all for reducing the deficit, but not at the expense of my Social Security and Medicare. We are now hearing Congress people and Senators talk openly about reducing these entitlements.

I would like to read more about what the AARP is doing to protect me and less about Drew Barrymore, the cover model of this month’s magazine.

[pmhinton]

Completely concur. As I see it, AARP needs to be more pro-active in securing commitments for protecting SS and Medicare for senior citizens - from the executive office and Congress.  AARP represents millions of seniors - it has a significant presence and a loud voice. There is rampant fear among seniors - apparently with good cause. The recent news about teenage twinkies accessing personal data and Mr. Musk's latest interest in cleaning up SS are frightening. 

[BalbonisMoleskine]

AARP's voice isn't as loud as you assume. In fact, it's more like that Simpsons meme about the old man yelling at the clouds.