A new report is warning that Social Security’s trust fund reserves could be empty as soon as 2031 under former President Donald Trump’s proposals.
The report comes from the Committee for a Responsible Budget, which says Trump’s plans to end taxation of Social Security benefits, scrap taxes on tips and overtime, impose new tariffs, and more could have a massive impact on Social Security’s finances.
Trump has maintained during his campaign that he will not “cut one cent from Social Security,” though the group says his policies say differently.
The most recent projections have warned that Social Security retirement and disability benefits are projected to run out in 2035. However, the CRFB warns that under Trump, the funds could be gone by 2031 while increasing the cash deficit for Social Security by $2.3 trillion from 2026 to 2035.
While several of Trump’s policies are playing a role in the projections, the committee shared that his plans to eliminate the taxation of Social Security benefits would cost $950 billion. The end to tax on tips and overtime would also incur another $900 billion, the committee shared.
Imposing tariffs would either “increase cost-of-living adjustments (COLAs) through higher inflation or reduce taxable payroll,” the committee said.
The committee added that another $400 billion would be added to Social Security’s cash deficit through his proposed tariffs and immigration plans.
The report highlights how ending taxes on tips and overtime would result in a decrease in “payroll tax collection accruing to the Social Security trust funds.”
While the committee shared its insight into the proposed policies from Trump, Trump Campaign National Press Secretary Karoline Leavitt slammed the report in a statement on Monday.
“The so-called experts at CRFB have been consistently wrong throughout the years. President Trump delivered on his promise to protect Social Security in his first term, and President Trump will continue to strongly protect Social Security in his second term,” Leavitt said in a statement.