A growing number of U.S. retirees are heavily reliant on Social Security, raising concerns that any reduction in benefits could severely threaten their financial security.
According to the “2025 Social Security Survey” released by the National Retirement Institute (NRI), 74% of respondents expressed concern that Social Security funds could be depleted over their lifetime, and 83% questioned the long-term sustainability of the system, USA Today reported on September 7. Notably, 44% of retirees said they could not maintain their standard of living if their monthly Social Security benefits were cut in half.
Social Security is projected to face depletion by 2034, triggering an automatic benefit reduction of about 19%. Based on the average monthly benefit of $2,006 as of July 2025, retirees could lose roughly $4,573 annually. Experts warn that most retirees lack sufficient personal savings or investment income, making such cuts not just inconvenient but potentially life-threatening in terms of financial survival.
High inflation in recent years has further strained retirees who rely on fixed incomes. The survey found that 52% of Social Security recipients reduced discretionary spending such as dining out or travel, and 31% cut back on essential expenses including groceries and medications. Around 29% are drawing from personal savings or retirement accounts to cover living costs. Additionally, 68% indicated that inflation adjustments (COLA) are insufficient to keep pace with rising costs, with tariffs contributing to long-term price pressures.
Experts caution, “If tariffs continue to drive prolonged inflation, the burden on retirees dependent on fixed income will increase further.”
Structural limitations of Social Security also contribute to the problem. Established in 1935 during the Great Depression, the program was designed to provide a basic income safety net for older adults, replacing roughly 40% of pre-retirement wages. The remainder is expected to come from 401(k), IRA, or personal savings, but many retirees lack sufficient retirement account balances and emergency funds.
With Social Security funds projected to deplete in just over a decade, retiree anxiety is intensifying. Experts urge individuals to increase retirement savings during working years and maintain emergency funds to secure a stable post-retirement life.
The survey was conducted by The Harris Poll from June 2 to July 10, 2025, with 1,812 adult participants nationwide.
BY EUNYOUNG LEE [lee.eunyoung6@koreadaily.com]
