It's all Trump's fault: Concerns over welfare cuts spark a surge in early retirement claims among Americans.
As of March this year, the backlog of retirement, survivor, and Medicare applications at the U.S. Social Security Administration has exceeded 580,000, far surpassing the same period last year. Although delaying retirement benefits is usually more cost-effective (for example, starting at 70 can provide 76% more than starting at 62), the reality is that an increasing number of people are choosing to forgo some benefits and claim early.
This wave of early claims stems from widespread public concern about the future. Christine Banner, 65, is a typical example; she gave up the opportunity to receive an additional $130 per month two years from now, preferring to lock in her benefits early even if it means receiving $1,500 less each year.
This sense of unease has multiple causes. Significant adjustments to federal agencies during the Trump administration have shaken public confidence in the stability of the Social Security system. At the same time, Trump and his team have repeatedly claimed that the Social Security system is rife with “widespread fraud,” exacerbating public fears of potential benefit cuts.
The latest polls show that more than 75% of American adults feel anxious about the Social Security system, hitting a 13-year high. Underlying pressures stem from an aging population and financial strain. Experts warn that if Congress does not act quickly, by 2033, the reserves of the Social Security trust fund will be depleted, forcing a reduction in benefit levels.
