WASHINGTON D.C. — The Social Security Board of Trustees released its annual report today, offering a sobering update on the financial future of the nation’s most critical safety net program. According to the 2025 Trustees Report, the combined reserves of the Old-Age and Survivors Insurance (OASI) and Disability Insurance (DI) Trust Funds are now projected to be depleted by 2034 — one year sooner than previously expected.
At that point, the program will be able to pay only 81% of scheduled benefits using incoming revenue, unless Congress enacts reforms to shore up the system.
OASI Depletion on Track for 2033
While the combined reserves’ depletion date moved up to 2034, the OASI Trust Fund alone remains projected to run out in 2033, consistent with last year’s forecast. Once depleted, only 77% of scheduled benefits for retirees and survivors could be paid from incoming payroll tax revenue.
In contrast, the DI Trust Fund — which supports individuals with disabilities — is projected to remain solvent for the full 75-year actuarial projection period.
Key Takeaways from the 2025 Trustees Report
- Combined Trust Fund Reserves declined by $67 billion in 2024, leaving a balance of $2.72 trillion at the end of the year.
- Total income for the combined funds in 2024 reached $1.42 trillion, comprising:
- $1.29 trillion in payroll taxes
- $55 billion from the taxation of benefits
- $69 billion in interest earnings
- Total expenditures rose to $1.48 trillion, with $1.47 trillion going directly to benefits for roughly 68 million beneficiaries by the end of the year.
- The actuarial deficit over the 75-year forecast has increased to 3.82% of taxable payroll, up from 3.50% in the 2024 report — indicating a growing gap between long-term costs and income.
An Urgent Call for Reform
In a statement accompanying the report, Frank Bisignano, Commissioner of Social Security, emphasized the urgency of bipartisan action to preserve the long-term viability of the trust funds.
“To ensure we serve the public and deliver high-quality service to the 185 million people who work and pay payroll taxes for Social Security and the 70 million beneficiaries who will receive benefits during 2025, the financial status of the trust funds remains a top priority for the Trump Administration,” Bisignano said. “Congress, along with the Social Security Administration and others committed to eliminating waste, fraud, and abuse, must work together to protect and strengthen the trust funds for the millions of Americans who rely on it – now and in the future – for a secure retirement or in the event of a disability.”
Long-Term Imbalance Remains
The report highlights a significant structural imbalance in the program’s financing:
- Since 2010, the program’s non-interest income (primarily payroll taxes) has been less than total expenditures.
- Beginning in 2021, even total income including interest was insufficient to cover benefit payments.
- Starting in 2025, this shortfall is projected to persist annually for the remainder of the projection period, requiring continued drawdowns from the trust fund reserves until they are exhausted.
Despite the financial strain, administrative costs remain low — just $7.4 billion, or 0.5% of total program expenditures, in 2024.
Who’s Managing the Trust Funds?
The Board of Trustees for the Social Security Trust Funds typically includes six members:
- Scott Bessent, Secretary of the Treasury (Managing Trustee)
- Frank Bisignano, Commissioner of Social Security
- Robert F. Kennedy, Jr., Secretary of Health and Human Services
- Lori Chavez-DeRemer, Secretary of Labor
- Two public trustee positions, currently vacant
What’s Next?
Without legislative action, beneficiaries — including retirees, survivors, and people with disabilities — face automatic benefit reductions in less than a decade. Lawmakers have a range of policy options to consider, including increasing payroll taxes, adjusting benefits, raising the retirement age, or combinations of these reforms.
The full 2025 Trustees Report can be accessed at www.socialsecurity.gov/OACT/TR/2025.
