Apr 24, 2025
Retirees are anxious about the future of Social Security as they navigate DOGE cuts, extreme market volatility and high levels of policy and economic uncertainty.
“I think anybody, future or current people on Social Security, are definitely targeted,” 74-year-old retiree Kathie Sherrill told the Detroit Free Press in an article published March 26. “It’s a worry that I’m sure everybody is having right now.”
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When it comes to retirees, she may be right. According to the publication, since early February, AARP, an organization that educates and advocates for U.S. adults over 50, has received more than 2,000 calls per week — nearly double the normal volume — relating to concerns about Social Security.
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“Social Security has never missed a payment and AARP and our tens of millions of members are not going to stand by and let that happen now,” John Hishta, AARP’s senior vice president of campaigns, said in a statement on social media.
Fueling retiree fears on several fronts
Insecurity around Social Security isn’t necessarily new. After all, the program’s trust funds may only be able to fully support retirement benefits until 2035 before those benefits are reduced. And some experts believe President Donald Trump’s policy proposals may hasten the insolvency of Social Security.
Politicians have mused over the years how Social Security should be reformed. But the current administration is fueling retiree fears on several fronts.
And these fears aren’t trivial. Social Security Administration (SSA) data shows people over 65 derive about 31% of their income from Social Security — and for 12% of men and 15% of women over 65, it accounts for 90% of their total income. Sherrill, for instance, says she receives about half her monthly income from Social Security.
However, the same administration seeking to make cuts within the SSA is implementing economic policies that experts say risk fueling inflation and potentially slowing the global economy.
These policies are already hurting the markets — jeopardizing seniors’ non-Social Security income streams, eating away at their spending power and adding additional uncertainty as to whether their savings will last throughout retirement.
A recent survey of seniors found that one of their biggest financial worries is not having enough money for retirement — and about a quarter worry about the stock market crashing.
With these fears exacerbated by current events, Sherrill and her friends are cutting back on life’s little luxuries, such as eating out and entertainment.
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“That wasn’t my plan, but that’s what I’ve been doing,” she said.
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What you can do to prepare for disruption
If you’re retired and worried about losing some (or all) of your benefits, you can protect your finances by cutting back where possible.
Unfortunately, for many, a cut in benefits will require rethinking what your retirement is going to look like. You may need to downsize your lifestyle, or in extreme cases return to full- or part-time work.
If you’re nearing retirement, you’ll want to start saving as much as possible. Set up a budget to find extra money each month and ensure your investments are optimized to boost your nest egg. Also, take advantage of opportunities to catch up your retirement funds where possible.
Keep apprised of any changes to Social Security to help ensure you don’t experience temporary delays in your benefits.
There’s a lot of uncertainty around Social Security — and the economy — right now. You may want to consider working with a financial planner to adjust your retirement plan and develop a contingency income plan, just in case.
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Vawn Himmelsbach is a veteran journalist who covers tech, business, finance and travel. Her work has been featured in publications such as The Globe and Mail, Toronto Star, National Post, CBC News, Yahoo Finance, MSN, CAA Magazine, Travelweek, Explore Magazine and Consumer Reports.
