Social Security Changes Forever Today, Sept. 30, Courtesy of President Donald Trump
Social Security is a major financial support system for millions of Americans, especially retirees. Over 53 million retired workers rely on these monthly payments, which average about $2,008.31 as of August. While that amount might not seem like much, it’s crucial for many older adults—between 80% and 90% of retirees use it to help cover their living expenses. It’s one of the key reasons senior poverty rates have stayed lower than they otherwise might be.
The Social Security program doesn’t stay the same year to year. The Social Security Administration (SSA) frequently makes updates, often announcing changes annually. These can affect how much people receive, who qualifies, and other important details.
But changes don’t always come only from the SSA. Sometimes, executive actions from the President can also affect the program. A recent example is an executive order from former President Donald Trump, signed back in March, which officially took effect on September 30. This change permanently ends the government’s practice of sending out paper Social Security checks—a system that had been in place since 1940.
Although most people won’t be affected (since over 99% of recipients already receive their payments electronically), around 390,800 people still received paper checks as of September 2025. Those individuals now need to switch to a digital method to continue receiving their benefits.
The main goal of this change is to cut down on fraud, reduce delays, and save money. Paper checks take longer to arrive, are more likely to be lost or stolen, and cost more to produce. Each paper check costs the government around 50 cents, while an electronic payment costs under 15 cents. The switch is expected to save more than $2 million each year.
For those who still get paper checks, there are two main options moving forward:
- Direct Deposit – If you have a bank or credit union account, you can have your Social Security payments sent straight to your account. You can set this up online with a “my Social Security” account, by visiting a local SSA office, or by working with your bank to enroll automatically.
- Direct Express Card – If you don’t have a regular bank account, you can use a prepaid debit card provided by the government. It works like any other debit card and will automatically receive your Social Security funds each month.
More changes are on the way soon. On October 15, the SSA is expected to announce updates that will take effect in January 2026. One of the most closely watched changes is the cost-of-living adjustment (COLA), which helps benefits keep up with inflation. Independent analysts estimate the 2026 COLA will be between 2.7% and 2.8%. If that’s accurate, it would be the fifth year in a row with a COLA above 2.5%, something that hasn’t happened since the late 1980s and 1990s.
However, increases in costs like Medicare Part B premiums—expected to rise by around 11.5%—along with higher prices for housing and healthcare, could offset the boost for many retirees. So, while the COLA gives recipients a raise, it may not feel like much extra money once other costs are factored in.
Higher-income workers can also expect some adjustments. Right now, income up to $176,100 is subject to the Social Security payroll tax. That cap is expected to rise in 2026, meaning people with higher earnings will owe more in taxes that go toward funding the program. At the same time, the maximum monthly Social Security benefit for those retiring at full retirement age—currently $4,018—will also likely go up.
All of these changes show how Social Security is constantly evolving. From Trump’s executive order to upcoming policy updates from the SSA, the program is always being adjusted to reflect new economic realities, technology, and policy goals. These shifts are important to keep up with, especially for the millions of Americans who depend on Social Security every month.
