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Opinion: Are these 5 Social Security proposals putting retirees at risk? Why millions of Americans are worried

Social Security is once again at the center of national debate in the United States. A recent survey by the American Savings Education Council, part of the Bipartisan Policy Center, reveals a growing sense of fear: 74% of Americans worry the program could run out before they retire, and 80% expect benefit cuts from Congress. For millions who rely on monthly checks, these concerns feel very real.

As lawmakers explore solutions to strengthen the system, several proposals have sparked backlash. Many retirees argue these changes could quietly reduce benefits or shift the burden onto vulnerable groups, especially those already living on tight budgets.

One of the most controversial ideas is raising the full retirement age from 67 to as high as 70. Supporters say it reflects longer life expectancy, but critics warn that it effectively cuts benefits, forcing people to work longer or accept smaller monthly payments—a tough reality for physically demanding workers.

 Changes that could reshape retirement income

Another proposal targets spousal and survivor benefits. Currently, spouses can receive up to 50% of their partner’s benefit, but some plans suggest reducing that to 33%. This could significantly impact households that rely on shared income, particularly affecting women and caregivers who often have lower lifetime earnings.

Adjustments to cost-of-living increases (COLA) are also under scrutiny. Proposals like the “chained CPI” would slow benefit growth over time. While the cuts may seem small annually, they can add up to thousands of dollars lost over decades, especially as healthcare and living costs continue to rise.

There are also debates around lifting the payroll tax cap, which currently limits how much high earners contribute. While supporters argue this would make the system fairer and more sustainable, critics say it could break the link between contributions and benefits, raising concerns about long-term fairness.

Finally, means-testing benefits for high-income retirees is one of the most divisive ideas. Reducing or eliminating payments for wealthier seniors may save money, but many fear it could transform Social Security into a welfare-style program, undermining its universal foundation.

In the end, the debate highlights a difficult balance. Fixing Social Security’s finances without hurting retirees is one of the biggest challenges facing policymakers today, and until clear solutions emerge, uncertainty—and frustration—will likely continue to grow.
From MSN

The Real Threat to Your Social Security If You’re Under 55 Might Surprise You

Many Americans worry that Social Security won’t be there when they retire, especially those still years away from claiming benefits. While concerns about funding, inflation, and market volatility are valid, the bigger issue for many households may be how far their Social Security benefits actually go once they start receiving them. The real risk isn’t what you might expect.

Even if benefits remain intact, rising health care costs could steadily erode their value over time. That means the challenge may not be getting Social Security but making it last. Here’s why this often-overlooked factor could reshape retirement planning for those under 55.

 Many people focus on the wrong Social Security risks

It’s common to hear concerns about Social Security running out of money or being cut significantly in the future. While the program does face long-term funding challenges, most projections suggest benefits would still be paid but may be reduced by about 25% by 2032 rather than disappearing entirely.

Other fears — such as stock market downturns or general inflation — also tend to dominate retirement conversations. These risks are real, but they are often more visible and easier to understand. As a result, a slower-moving issue like rising health care costs can be overlooked, even though it may have a more direct impact on retirees’ day-to-day finances.

 Health care costs are rising faster than benefits

One of the biggest challenges is that health care costs tend to rise faster than overall inflation. Recent data shows that medical expenses could increase significantly in the upcoming years — the projected long-term health care inflation rate is 5.8%, based on a 65-year-old couple retiring in 2026.

Meanwhile, Social Security cost-of-living adjustments (COLAs) are often lower and tied to broader inflation measures. For 2026, the Social Security COLA was just 2.8%, significantly lagging the rising cost of health care. This creates a gap over time, where expenses grow faster than income. Even small differences in annual increases can compound significantly over decades, reducing purchasing power in retirement.

 Retirees may spend a large share of income on medical costs

As people age, health care becomes a larger part of their budget. Premiums, out-of-pocket expenses, prescription drugs, and long-term care needs can all add up quickly.

If costs continue rising faster than benefits, retirees could end up spending a substantial portion of their monthly income on medical care alone. In some cases, health-related expenses could consume the majority of

Social Security payments. This shift can leave less room for other essentials, such as housing, food, and everyday living expenses.

 The gap can grow over time if nothing changes

The long-term impact of this trend is easy to underestimate. A few percentage points of difference between benefit increases and cost increases may not seem significant in the short term, but over 20 or 30 years, the effect can be substantial.

As health care costs rise, retirees may need to draw more heavily on savings or adjust their lifestyle to compensate. Those who retire earlier or live longer may feel this pressure more acutely. Without planning, the mismatch between income and expenses can gradually reduce financial flexibility.

 Planning ahead can help offset rising health care costs

While the trend is concerning, there are steps you can take to prepare. Building additional savings, maintaining access to employer-sponsored health coverage when possible, and understanding Medicare options can all help manage future expenses.

Some individuals can also explore health savings accounts (HSAs), supplemental insurance, or lifestyle changes that support long-term health and reduce medical costs. Even small adjustments made earlier can have a meaningful impact over time. Taking a proactive approach can help you better align your income and expenses in retirement.

 Bottom line

For many Americans under 55, the biggest threat to Social Security may not be whether benefits exist, but how far they go. Rising health care costs have the potential to steadily erode purchasing power, making it harder to rely on benefits alone.

Recognizing this risk early can help you take steps to protect your financial future and lower your financial stress later in life. Planning for higher health care costs now — rather than reacting to them later — can make a meaningful difference in how secure your retirement feels.

From AOL