Donald Trump's "One Big Beautiful Bill Act" passed in July 2025, but instead of eliminating Social Security taxes, it accelerated the depletion of the Social Security Trust Fund to 2032.
The bill introduces a temporary tax cut for American seniors aged 65 and older who meet specific income thresholds, valid from 2025 to 2028. However, due to parameter limitations, the Tax Policy Center estimates that less than half of seniors will benefit from this cut. The Joint Committee on Taxation's analysis indicates that this reduction will cut approximately $91 billion from Social Security program revenues over four years, which the Bipartisan Policy Center states will cause the Social Security trust fund to be depleted one year earlier than expected, by 2032. The Committee for a Responsible Federal Budget anticipates that retirees could face a 24% cut in benefits.
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