Social Security Chief Celebrates Budget Bill That Could Slash Program’s Finances

U.S. President Donald Trump’s handpicked Social Security chief issued a statement Thursday applauding the passage of a Republican reconciliation bill that analysts say would negatively impact the New Deal program’s finances.

Social Security Commissioner Frank Bisignano called the Republican legislation, which Trump is expected to sign on Friday, a “historic step forward for America’s seniors” and a reaffirmation of the president’s “promise to protect Social Security.”

But experts warned in the lead-up to the bill’s passage that its massive tax cuts would bring forward the date at which Social Security will no longer be able to pay out full benefits in the absence of legislative solutions.

“By raising the standard deduction for all filers, and raising it even higher for some seniors, fewer Social Security beneficiaries will pay taxes on their benefits, and those who do will pay lower rates,” said Kathleen Romig and Gbenga Ajilore of the Center on Budget and Policy Priorities. “Raising the standard deduction would deliver little to no benefit to lower- and moderate-income families while reducing income into Social Security’s trust funds.”

The Social Security Administration put out a statement celebrating a bill that would lead to faster insolvency of the Social Security Trust Fund pic.twitter.com/aRhLfcRiIv

— Bobby Kogan (@BBKogan) July 4, 2025

According to the latest Social Security Board of Trustees report — released ahead of the reconciliation bill’s passage — the Old-Age and Survivors Insurance (OASI) Trust Fund will be able to pay out 100% of benefits until 2033. Thereafter, if lawmakers don’t act, the fund will be able to pay out 77% of total scheduled benefits.

The Committee for a Responsible Federal Budget (CRFB), a conservative think tank, estimated in an analysis released last month that the Republican reconciliation package would accelerate the depletion of Social Security and Medicare’s trust funds by a year. Compared to current law, the GOP measure would also result in “even deeper” cuts to Social Security benefits after the trust fund depletion date, the analysis projected.

Rep. John Larson (D-Conn.), a leading champion of Social Security Expansion in Congress, highlighted CRFB’s findings in a video posted to social media a day before House Republicans secured final passage of the reconciliation bill.

“We have to act now, not just to protect Social Security but to expand the benefits,” said Larson. “It needs to be protected, it needs to be enhanced — not cut and diminished.”