The 2021 Trustees Report Shows that Social Security Stands Strong in Times of Crisis

(Washington, DC) — The 2021 Annual Report of the Board of Trustees of the Federal Old-Age and Survivors Insurance and Federal Disability Insurance Trust Funds, released today, shows that expanding Social Security is fully affordable.

This year’s report announces that Social Security has an accumulated surplus of approximately $2.9 trillion. It projects that, even if Congress took no action whatsoever, Social Security not only can pay all benefits and associated administrative costs until 2034, it is 89 percent funded for the next quarter century, 83 percent for the next half century, and 80 percent for the next three quarters of a century. At the end of the century, in 2095, Social Security is projected to cost just 5.9 percent of gross domestic product (“GDP”).

Social Security Works has released a fact sheet that puts the report into further context, including the context of the ongoing pandemic.

The following is a statement on the report from Nancy Altman, President of Social Security Works and chair of the Strengthen Social Security Coalition:

“Today’s report shows that Social Security remains strong and continues to work well, despite the once-in-a-century pandemic. That this year’s projections are so similar to last year’s proves once again that our Social Security system is built to withstand times of crisis, providing a source of certainty in uncertain times.

We don’t have a Social Security crisis, but we do have a retirement income crisis — made worse by the pandemic, which, among other economic impacts, forced millions of workers to retire earlier than planned. The solution is to expand Social Security, as President Joe Biden has promised to do.

Democrats are united in support of expanding Social Security while also restoring it to long-range balance. They should make this their next policy priority as soon as the reconciliation package is finished. In contrast, Republicans support cutting Social Security behind closed doors and have even threatened to take our nation’s full faith and credit hostage in order to do so. That is the real threat to Social Security.

Today’s Trustees Reports make clear that the question of whether to expand or cut Social Security and Medicare’s modest benefits is a question of values and choice, not affordability. Every Senator and Representative should have to vote, before the next election, on legislation that expands these vital benefits while requiring the wealthiest to start paying their fair share.”

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