Elon Musk recently claimed that his Department of Government Efficiency (DOGE) reforms at the Social Security Administration (SSA) would result in more money for legitimate recipients. However, experts say this is unlikely. Chris Orestis, a retirement expert, said reports have debunked many of Musk’s and DOGE’s claims of widespread fraud and waste.
“Social Security does not have the discretion to increase benefits based on somehow finding ‘extra’ money,” Orestis said. Benefits are increased through the annual cost-of-living adjustment, which is based on inflation. Martha Shedden, president of the Retirement and Social Security Associates, doubts Musk understands how Social Security benefits are calculated.
“They are not based on how much money is in the trust fund, nor is it dependent on the level of staffing at SSA. It is based on how much the beneficiaries earned over their lifetime,” she said. This cannot change without an act of Congress.
According to the trust fund’s 2024 report, Social Security payments will continue at 100% until 2035. Beyond that, checks will need to be reduced by 17%. This is because Social Security is funded by payroll taxes covering about two-thirds of annual spending and the trust fund covering about one-third.
The only way Social Security benefits could be increased is if Congress passes laws on how benefits are calculated and there is an increase in revenue. This could be accomplished by raising or eliminating the maximum taxable earnings limit, currently at $176,100. Other likely changes would be increasing the retirement eligibility age for people 10 years or more away from 62, increasing the amount taxed on higher-income wage earners, and possibly eliminating eligibility for people at a higher net-worth range.
Rennie Glasgow, a 15-year veteran of the SSA, believes Musk’s ultimate goal is the privatization of Social Security.
Musk’s SSA reforms debunked by experts
One of DOGE’s first actions was to demand access to the SSA’s databases, which are supposed to be protected.
Glasgow said the DOGE team has not adhered to the rules, accessing databases without proper training or accountability. Staff numbers have dwindled due to layoffs and retirements, and DOGE’s inefficiencies have increased workloads and customer frustrations. The SSA’s website has been repeatedly crashing, forcing double the number of people to seek help in person and exacerbating waiting times.
Emails from DOGE shift rules daily, making it harder for SSA workers to provide consistent, reliable service. Glasgow emphasized the emotional toll on SSA workers, many of whom struggle to keep their work stress from spilling into their personal lives. Three baby boomers shared what they think the White House could do to improve Social Security.
Debra Sutherland, 71, said the only way to make Social Security better is to remove Elon Musk. Diane Campbell, 68, said people with higher incomes should pay more in taxes toward Social Security to boost funding. Robert Zeidler, 72, spent weeks trying to get help with a direct deposit issue via Social Security’s customer service.
He said there’s no shortcut to having people manning the phones and worries that cuts to the SSA will make it harder for older Americans to claim benefits and potentially delay checks. With DOGE cuts, Social Security’s customer service system is strained. The average call wait time was one hour and 39 minutes in March, and local field offices are bracing for an influx of visitors.
About 50 field offices are set to close due to DOGE cuts. Older adults have said it can be challenging to navigate the government paperwork necessary to claim Social Security. Many worry about peers who are less adept at navigating the Social Security website.
The MySSA portal has also seen outages recently, temporarily preventing beneficiaries from accessing their accounts.
Image Credits: Photo by Kanchanara on Unsplash
Cameron is a highly regarded contributor in the rapidly evolving fields of artificial intelligence (AI) and machine learning. His articles delve into the theoretical underpinnings of AI, the practical applications of machine learning across industries, ethical considerations of autonomous systems, and the societal impacts of these disruptive technologies.
