If you’ve even glanced at the news this month, you’ve probably seen headline after headline about how the US might not be able to pay its debts, and that the country might even default. With that possibility looming overhead, many Americans have wondered if their Social Security benefits are on the chopping block.

Will My Social Security Checks Be Canceled?

First, let’s answer the most pressing question: No, your Social Security checks will not stop coming. Regardless of whether the US defaults on its debt or not, your benefits are protected by the 1996 “Protection of Social Security and Medicare Trust Fund” law.

But If The US Can’t Pay Its Debts, How Can It Pay Social Security?

The truth is, Social Security has collected much more revenue than it’s paid out, resulting in a significant amount of asset reserves. These reserves, which amount to about $2.817 trillion, can be used even if the US has to start suspending other payments.

With approximately $1.232 trillion going out to recipients in 2022, the reserves could keep monthly benefits rolling for over 2 years – more than enough time for the country to sort things out.

Can Social Security Ever Run Out Or Go Bankrupt?

It cannot. 90% of Social Security’s reserves come from the 12.4% payroll tax on earned income (wages and salaries). So long as Americans work, then Social Security will always have money to disburse.

How Worried Should I Be About The Debt Ceiling?

While the US’s debt is serious, there has never been a time in US history when the country has had to default on it. No matter how far apart Democrats and Republicans may be on most issues, they’ve always been able to work together to keep the debt limit in check. 

So overall, chances are very, very slim that the default will occur, and even if it did, there are plenty of reserves to keep money going out to those who need it. So now you can breathe a sigh of relief and rest assured that no matter what happens, your Social Security benefits are safe.