Behind the False Claims of Social Security Fraud
The reason behind the claims that 150-year-olds are collecting Social Security? Sources: Fox Business, social media montage
Social Security, a beloved government program, is in Trump’s crosshairs.
Just the Facts
Sheer numbers attest to why Social Security is a popular government program. As of FY2024, over 73 million Americans were receiving Social Security benefits. The average monthly payment to retired workers is currently $1,976. Almost nine out of 10 Americans aged 65 or over get a check or deposit from Social Security.
It is estimated that among beneficiaries, 37% of men and 42% of women rely on Social Security for 50% or more of their income. Without Social Security benefits, an estimated 37.8% of elderly Americans would have incomes below the official poverty line.
The Social Security Administration pools contributions from all working Americans (approximately 184 million strong) and their employers through a payroll tax (FICA) and pays out benefits to those not working anymore. The current tax rate for both employers and employees is 6.2%. Workers earn Social Security benefits through a calculation of an individual’s 35 prime working years.
Source: New York Times
“Third Rail of American Politics”
It seems counterintuitive that the Trump administration would ambush a government program that’s essential to the survival of millions of Americans. They don’t call it the “third rail of American politics” for nothing. But that’s what the administration, through its Department of Government Efficiency (DOGE), seems bent on doing, all in the name of rooting out “fraud.” We’ll take a look at that.
Staff reductions at the Social Security Administration, numbering over 7,000 workers, come at a time when retirement claims have increased by 430,000 over the last 60 days. DOGE’s solution, according to internal emails: Employees must work “at least 10% harder.”
Cutting Phone Service
DOGE has focused on benefit claims made by phone as its primary target for identifying Social Security fraud. It imposed a three-day wait time on telephone claims while staff performed a background check. The results, according to the federal technology publication NextGov/FCW: “The agency found that only two benefit claims out of over 110,000 had a high probability of being fraudulent. Less than 1% of claims were flagged as even potentially fraudulent at all.”
The unintended consequences (or perhaps intended) of targeting phone service: Dropped calls and longer wait times. Delays in claim processing. Daily website crashes. After a backlash from congressmen and senior advocates, the effort was abandoned a week ago.
“Every one of Doge’s so-called ‘mistakes’ is a backdoor cut to people’s benefits,” asserted Sen. Elizabeth Warren (D-MA). “There’s nothing efficient about making it harder for people to access the checks they’ve earned and are owed.”
Graphic found at fingerlakes1.com
Cutbacks Amid Claims Surge
The reasons for the surge in Social Security claims include baby boomers turning 65 years old and a recent policy change that hiked retirement benefits for surviving spouses and certain government employees. A typical response to a surge like that would be to add employees and increase support. But these aren’t typical times.
Instead, the Trump administration through DOGE has imposed vindictive work restrictions on Social Security employees, like limiting credit card purchases for things like office supplies to $1. That’s one dollar. This means Social Security field offices (the ones remaining) must make do with “no more paper, no more printers, no ability to shred documents, no money to pay phone bills or hire foreign language interpreters,” according to the Washington Post.
Double Talk and Disinformation
As Social Security struggles to fulfill its mission, the folks in charge are spinning tall tales of disinformation. For example, in a March 27 interview with Fox News, a DOGE engineer claimed that 40% of phone calls to Social Security offices to change banking information are made by fraudsters. The agency then walked it back, admitting that it was 40% of direct deposit fraud was made over the phone.
But a seed was planted and the damage was done. Elon Musk, in a speech in late March, claimed that 40% of all calls to the agency were “fraudulent.” Both J.D. Vance and Donald Trump have repeated that false claim.
In reality, Social Security fraud has not been proven. There are layers of security in place, and staff are trained to flag suspicious transactions. According to Nextgov/FCW, just 0.3% of old age, survivor, or disability payments are considered “improper payments.” And DOGE’s ignorance of COBOL programming language (see lead image) is perhaps the reason why it’s trumpeting 150-year-olds drawing Social Security benefits.
Source: YouTube
Social Security Self-Funded
President Franklin D. Roosevelt signed the Social Security Act on August 19, 1935, to counter poverty and unemployment caused by the Great Depression. Poverty rates among senior citizens during that time exceeded 50%.
Throughout the years, Social Security has been strengthened to include women and family protection (1939), Medicare and Medicaid (1965), and cost-of-living allowances (1975). Conjecture aside, the Social Security Trust Fund has never been put into the general fund of the US government.
Opposition to Social Security has centered on conflating it with “socialism.” Elon Musk has called Social Security a “Ponzi scheme,” even though benefits are legally earned through a worker’s lifetime contributions.
Coda
The question remains why Donald Trump would want to “mess with” a program that’s so cherished and so essential to elderly Americans. Why would Trump want to create fear and uncertainty over something that had been guaranteed, and stand in the way of senior citizens’ primal desire to spend their remaining years with dignity and peace of mind?
Because he can. He gets off on it.
Disclosure: The author turns 74 this August.
