Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTVishesh RaisinghaniThu, June 4, 2026 at 1:05 PM GMT+2 5 min readMoneywise and Yahoo Finance LLC may earn commission or revenue through links in the content below.Due to its widespread popularity, meddling with Social Security is generally considered politically taboo. President Donald Trump recognized this during his 2024 election campaign.“I will never do anything that will jeopardize or hurt Social Security or Medicare… We’ll have to do it elsewhere. But we’re not going to do anything to hurt them,” he said (1) at the time.Top PicksHere’s how to get rich from rising US property values with as little as $100 — and without the stress of angry tenantsDave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake — here’s how to fix it ASAPThe IRS usually taxes gold as a collectible — but this little-known strategy lets you hold physical bullion tax-free. Get your free guide from Priority GoldUnfortunately, Trump’s Big Beautiful Bill (BBB) is now poised to do exactly what he promised he wouldn’t. In an indirect way, this signature piece of legislation actually creates a $169 billion shock impacting anyone who hopes to collect a benefit check in the future.Here’s what you need to know about these potential consequences for your retirement.Tax cuts mean less revenueThe BBB included several temporary tax credits and deductions (2), such as the elimination of taxes on overtime and tips and a special $6,000 deduction for seniors over the age of 65. While it’s safe to assume that these tax reductions are popular with the narrow cohort of people who qualify for them (and up to a point), they also more broadly reduce the government’s revenue, which makes funding social programs like Social Security more difficult.According to the Social Security Administration’s Office of the Actuary’s (OACT) (3) letter to Senator Rob Wyden, this reduction in revenue has a clear impact. “Over calendar years 2025 through 2034, the total net increase in OASDI program cost is estimated to be $168.6 billion,” says the report. “The reserve depletion date for the OASI Trust Fund is accelerated from thefirst quarter of 2033 to the fourth quarter of 2032.”In simple terms: Trump’s signature policy has increased costs by $169 billion and accelerated the trust fund’s depletion from early-2033 to late-2032.Unlike the temporary and targeted tax cuts, this impacts all workers and retirees. Trust fund depletion could unleash a 24% benefit cut on average, according to the Committee for a Responsible Federal Budget (4).This potential cut may even impact some of the seniors who benefit from the new BBB deductions. But for younger workers who are several years away from retirement, the impact is likely to be more severe.Terms and Privacy PolicyPrivacy & Cookie SettingsMore Info