The Retire Advocate
September
2025
Deceit, Resistance, on Social Security’s 90th Birthday
Steve Kofahl
Thursday, August 14, marked the 90th anniversary of the passage of the Social Security Act. At his Oval Office event, President Trump asserted that the Administration had eliminated the federal taxation of Social Security benefits and improved customer ser- vice at the Social Security Administration (SSA). Both claims are false.
His “One Big Beautiful Bill” provides a tax deduction of as much as $6000 for some beneficiaries, but about half of them will still pay taxes on their benefits when the tax deduction offset is considered. The SSA Chief Actuary finds that the loss of Trust Fundincome resulting from this legislation advances the date when the Trust Funds will be depleted by six months, from early 2034 to late 2033.
The deportation of undocumented workers may advance the date by another six months, according to some analysts. Trumplied when he previously asserted that undocumented workers receive benefits, and that 235,000 of them had been removedfrom the beneficiary rolls this year. Undocumented workers pay Social Security taxes on their earnings, but are ineligible to receive benefits under the Social Security Act. More deportations mean less income to the Trust Funds.
The alleged service improvements are a ruse, a product of changes in both SSA field office procedures and the Agency’s displayof service data. Workers have been repeatedly redirected to address high-profile workloads and backlogs, at the expense oftheir regular assigned duties. Field Offices no longer take benefit applications on a walk- in basis. Instead, visitors are scheduled for a future telephone interview that will likely be several months later. The delay is not measured or reflected in public-facingperformance reports, nor is the public harm acknowledged. To make matters worse, SSA launched a flawed 800# chat-box in April. It too-often responds to a different question than the one asked by the caller, fails to route the call to a live agent when requested, and/or terminates the call. Absent a caller’s intent to file and date of contact being documented by SSA, there can be a permanent loss of benefits because there are strict limits on retroactivity.
The National Academy of Social Insurance has released an initial report documenting the inherent problems in utilizing artificialintelligence (AI) at the SSA, and continues to study the subject, but SSA Commissioner Bisagnano is committed to expanding its use, no doubt to justify steeper future staff cuts. Increasing the use of AI in making disability determinations at the SSA is aparticular concern, because of accuracy and equity issues. A trained human, who is not pressured to deny an application or appeal, must always be the final disability decision-maker.
The American Federation of Government Employees, National Council of Social Security Field Operations Employees (AFGE Council 220) led over 50 actions on August 14. It revealed that benefit applications increased 18% between January and May, that in 46 states over 10% of SSA staff was lost in the 12 months ending in March (9% in Washington State), and that more than 30% of offices lost more than 10% of their staff. SSA has shed 7,000 employees, with staffing at a 50-year low.
Senators Cassidy (R-LA) and Kaine (D-VA) have proposed creation of a $1.5 Trillion private investment fund over five years that would be placed in escrow for 70 years to “save” Social Security. Treasury Secretary Scott Bes- sent (like Bisagnano, a Social Security Trustee by virtue of office, charged
with protecting the Trust Funds), called Trump’s $1,000 tax-deferred accounts for newborns a “backdoor for privatizing Social Security.”
We need to make it crystal clear to our elected representatives that we will not tolerate any privatization of our earned Social Security benefits, that Congress should “scrap the cap” on earnings subject to the payroll tax, and that SSA staffing and personalized service must be fully restored ASAP!
Steve Kofahl is a former President of AFGE 3937, representing Social Security Administration workers, a member of PSARA's Executive Board, and a Co-Chair of PSARA's Social Security Task Force.
