Americans have giant concerns around how stable their social security safety net may be.
A new report shows that a staggering number of individuals believe the system simply has to change. According to the 11th edition of Nationwide Retirement Institute’s annual Social Security survey by Nationwide and Harris Poll, four (79%) are ready for an overhaul.
For many older Americans, social security is an utter necessity. But according to analysts, if something doesn’t change and soon, the system will be defunded in less than a decade. Americans seem well aware of just how fragile the current system is, too. Nearly three-quarters (72%) of adults surveyed were worried it would run out of funding in their lifetime. Millennials are the most likely to feel this way (79%), followed closely by Gen Xers (77%). Only 66% of Gen Z and boomers+ are concerned.
Across the board, it seems there’s no shortage of individuals who believe social security may soon be a thing of the past, but many believe that they won’t see any of the benefits they’ve earned whatsoever. 23% say they are likely not to see any money at all from the precarious system.
Those concerns are certainly weighty, and they could end up being a big factor in the 2024 Presidential election, too. The survey demonstrated that aspect of the issue, as well, as more than two-thirds of participants (69%) said that the candidate’s stance on social security will sway their vote in November.
When it comes to revamping the system, the survey asked participants how to best achieve a better outlook. 66% of Americans surveyed said they support increasing the minimum eligibility age from 62 to 64. And more than two-thirds (68%) said the social security payroll tax rate should be increased from 6.2% to 7.2%, and the cap on social security taxes paid by workers making over $400,000/yearly should be removed.
Nearly half (47%) believe the way to revamp the program is to raise taxes on the rich, something the Biden Administration supports, and it seems likely that Kamala Harris would continue supporting. Harris also cosponsored Senator Bernie Sanders’s 2019 Social Security Expansion Act, which would’ve required wealthy Americans to pay more and increase benefits for many. However, 40% believe that lowering taxes on benefits could help solve the issue—a proposal Donald Trump has been pitching recently. Just this week, the former president and GOP candidate addressed the issue on Truth Social, writing, “SENIORS SHOULD NOT PAY TAX ON SOCIAL SECURITY!”
It certainly makes sense that Americans are worried about social security, given more and more workers are retiring later in life or not at all due to financial woes. Still, there’s a lot of people who don’t know about the program. Overall, according to the survey, people had less knowledge about the benefits of social security than they did in 2015. 33% didn’t know what age they were eligible for retirement.
That could be, in part, because so many who plan to file for social security early, say they will continue working—34% answered that they either strongly agree or somewhat agree with that statement. Therefore, the current system doesn’t feel, to many, like it can be relied upon fully in order to retire. So, why worry over the details?