CRS Report – Social Security’s Projected Shortfall: The Role of Demographic Factors, June 5, 2025 – Referenced Legislation: P.L.98-21 – “Social Security is a social insurance program that provides income replacement to workers and their families due to a loss of earnings after a worker’s retirement, death, or disability. Yet Social Security, the federal government’s largest benefit program, is facing a projected funding shortfall. Social Security’s ability to pay benefits to current and future beneficiaries is determined by its revenues, costs, and trust funds. The program’s projected shortfall is the result of rising benefit costs, which, absent congressional action, will impact the program’s ability to pay full benefits on time. Under the Social Security Board of Trustees’ intermediate assumptions—their best estimate as to the future experience—the program will be able to pay about 80% of scheduled payments beginning sometime in 2035. At that time, and absent changes to current law, Social Security beneficiaries would receive a de facto reduction in benefits of about 20%…”