Many people have been concerned about whether a Government Shutdown Could Affect Social Security Checks. According to the Social Security Administration (SSA), benefits will continue, but some agency functions may be disrupted. In the U.S., one in five elderly individuals depends on Social Security for at least 90% of their income. While benefit payments are secure, other SSA services could slow down due to staffing shortages.
How a Government Shutdown Could Affect Social Security Checks
The White House has instructed federal agencies to prepare contingency plans as a shutdown looms. Based on previous shutdowns, SSA Deputy Commissioner Chad Poist confirmed that benefit payments will not stop. However, some SSA operations will be reduced.
The following table highlights the services affected during a shutdown:
| SSA Service | Status During Shutdown |
| Social Security Benefit Payments | Continue as usual |
| Medicare Card Replacements | Delayed |
| Freedom of Information Act (FOIA) Requests | Suspended |
| Processing Overpayments | Paused |
| SSA Customer Service | Limited support |
| SSA Employees Working | Reduced workforce |
Approximately 8,500 SSA employees will be furloughed, causing delays in administrative tasks. These employees will not receive pay until Congress approves a new spending bill.
New Bill to Increase Social Security Benefits Nears Approval
A proposal to improve Social Security benefits for retired public-sector workers has passed the Senate. The Social Security Fairness Act was approved by a vote of 76-20 and is now awaiting President Biden’s decision.
The bill aims to eliminate:
- Windfall Elimination Provision (WEP) – Reduces benefits for retirees who also receive a government pension.
- Government Pension Offset (GPO) – Lowers benefits for spouses and survivors whose partners worked in jobs that didn’t pay Social Security taxes.
While the bill has bipartisan support, some lawmakers argue it could increase the government deficit and shorten Social Security’s lifespan and Also check out Will the Social Security Fairness Act Bankrupt SSA Trust Funds? To stay updated.
Critics Say the Bill Could Worsen the Deficit
Republican senators largely opposed the bill, claiming it benefits only a small group while increasing costs for taxpayers. The Congressional Budget Office (CBO) estimates the bill would add $196 million to the deficit over the next decade.
Additionally, the Cato Institute, a libertarian think tank, criticized the bill for favoring public-sector workers over private-sector retirees. The proposed benefit increases would cost taxpayers $196 billion.
FAQs
1. Will a government shutdown delay Social Security payments?
No, Social Security benefits will continue even if the government shuts down.
2. What SSA services will be affected by a government shutdown?
Some services, like replacing Medicare cards and processing overpayments, may be delayed.
3. How does the new Social Security bill impact retirees?
The bill eliminates WEP and GPO, allowing certain retirees to receive higher benefits.