Trump Social Security Tax Cut Would Cost $91 Billion as 2032 Benefit Cliff Nears

2 articles · Updated · The Independent · Aug 13

$91 billion in lost revenue from 2025 to 2028 would result from the senior tax deduction in Trump's One Big Beautiful Bill Act, according to a Yahoo Finance-cited analysis.
The deduction lets eligible retirees cut taxable income by $6,000 for single filers 65 and older and $12,000 for married couples, offering short-term relief while draining a key Social Security funding stream.
Social Security already faces mounting strain as the worker-to-retiree ratio has fallen to 2.9-to-1 in 2026 from 5-to-1 at the program's start, accelerating depletion of the Old-Age and Survivors Insurance trust fund.
Trustees project that fund will be exhausted in 2032, which could force benefit payments to run as much as 22% below scheduled levels unless lawmakers raise revenue or curb benefits.