Millions of Americans are asking the same question about Social Security: Will benefits be cut in the coming years?
The concern gained new urgency Tuesday when a bipartisan group of senators introduced legislation designed to force Congress to confront Social Security’s long-term funding problems. The move comes after Social Security trustees reported that the program’s retirement trust fund is projected to face a funding shortfall in 2032, one year sooner than previously expected.
If lawmakers fail to act before then, Social Security would still collect payroll taxes and continue paying benefits. However, trustees project the program would only be able to pay about 78% of scheduled retirement benefits, resulting in an automatic reduction of roughly 22% for beneficiaries.
The newly introduced PROMISE Act does not directly raise benefits, cut benefits or increase taxes. Instead, it would create a formal bipartisan process aimed at producing a long-term solution to keep Social Security financially stable for at least the next 50 years.
What is the new Social Security bill — PROMISE ACT?
The legislation, known as the PROMISE Act, was introduced by a bipartisan group of senators including Democrats, Republicans and an independent lawmaker. Supporters say Congress has spent years discussing Social Security’s finances without taking meaningful action.
Under the proposal, the Social Security Advisory Board would develop recommendations for restoring the program’s solvency. Congress would then be required to consider and vote on a plan rather than continuing to delay action.
The PROMISE Act faces a long legislative path, but supporters hope it will force lawmakers to act before the projected 2032 shortfall.
Will Social Security run out of money?
Not exactly.
Social Security is not expected to disappear; even if the retirement trust fund becomes depleted, ongoing payroll tax revenue would continue to fund the program. However, that revenue would not be enough to pay full scheduled benefits.
The latest trustees report estimated the retirement trust fund could reach insolvency in 2032.
Could Social Security checks be reduced? Will benefits be cut?
Under current projections, Social Security checks could be reduced, but not eliminated.
Without changes, beneficiaries could see a reduction of around 22% from scheduled benefit levels once trust fund reserves are exhausted. Analysts estimate that could translate into hundreds of dollars per month for many retirees.
Congress has typically avoided those cuts, which is why lawmakers from both parties say action is needed now.
Will Social Security payments increase? Cost of living adjustment (COLA)
For 2026, beneficiaries already received a 2.8% cost-of-living adjustment, increasing the average monthly retirement benefit by roughly $56 and projections for the 2027 COLA are currently estimating an increase between 3.6% and 3.8%, with the official figure being finalized and announced in October.
This article originally appeared on Delaware News Journal: Will Social Security benefits be cut? New bill aims to stop a 2032 shortfall
