Key facts
- Acting Social Security Commissioner Kilolo Kijakazi believes the program's insolvency is solvable.
- The Old-Age and Survivor Insurance (OASI) Trust Fund is projected to run out of money in 2033.
- If no action is taken, Social Security checks could be reduced by approximately 17%.
- A proposed blueprint aims for solvency over 75 years through tax increases and benefit reductions.
- Andrew Saul, a Trump appointee, was removed as commissioner by President Biden.
- John Larson criticized Saul's leadership for policies that could make accessing benefits more difficult.
Acting Social Security Commissioner Kilolo Kijakazi has stated that the program's impending insolvency is a solvable issue. The Old-Age and Survivor Insurance (OASI) Trust Fund is projected to exhaust its funds by 2033, at which point Social Security benefits could be reduced by approximately 17% if no legislative changes are made.
President Joe Biden recently removed former Commissioner Andrew Saul, a Trump appointee, and installed Kijakazi, who previously served as deputy commissioner for retirement and disability policy. Critics, including House Ways and Means Committee Chairman John Larson, accused Saul and his deputy, David Black, of pursuing policies detrimental to beneficiaries, particularly those with disabilities. Retirement advocacy groups have largely praised Kijakazi's appointment, viewing it as a move towards protecting and enhancing Social Security.
A blueprint for addressing Social Security's financial challenges proposes achieving solvency over a 75-year period through a combination of tax increases and benefit reductions, aiming for bipartisan appeal. This approach seeks to stabilize the program's finances without introducing entirely new revenue streams, adhering to the program's historical approach to reform.