Social Security Trust Fund Depletion Projected for 2035, New Treasury Report Confirms
WASHINGTON (May 6, 2025) – The U.S. Department of the Treasury released its annual report on the Social Security trust funds on Monday, confirming the combined Old-Age and Survivors Insurance and Disability Insurance trust fund is projected to be depleted by 2035. According to the report, benefit payments will exceed tax revenues on a sustained basis starting this year, forcing the program to rely on its reserves until exhaustion. At that point, incoming payroll taxes would cover only 83 percent of scheduled benefits, automatically triggering a 17 percent reduction for all recipients unless Congress intervenes. The depletion timeline remains unchanged from last year’s estimate, with the disability insurance trust fund facing a slightly earlier shortfall in 2033. Officials emphasized that the projections assume current law remains unchanged and warned that legislative action is necessary to avoid significant benefit cuts for over 70 million beneficiaries.