Waiting to reform Social Security will increase the magnitude of change needed

Policy Change to Prevent Depletion of OASDI Trust Funds (% Change)

Source: Social Security Administration Download image
Notes: The Social Security Administration projects the impact of insolvency to the combined OASDI fund. Increases in the payroll tax rate would be equal to a 4.25 percentage point increase if reform started in 2026 and a 4.90 percentage point increase if reform started in 2034. Data for benefit cuts reflect the combined OASDI fund and assume cuts are made to current and new beneficiaries. According to the 2026 Trustees Report, projected benefit cuts for the OASI fund only would be 22% across the board two years prior in 2032.