As the days come and go, so do people. Change is inevitable. Sometimes change can be good for some, but it may be devastating for others. This was recently seen after the SSA brought on huge changes, which resulted in two big wins and one heartbreaking cut. This coming June, Social Security benefits will differ for many beneficiaries, and those affected will either join in celebration or lower their heads in defeat.
The SSA will be looking a bit different
On May 6, 2025, the Social Security Administration (SSA) appointed its new commissioner, Frank Bisignano, and is now undergoing significant changes. Bisignano’s appointment resulted in key restructuring in the agency, which may have implications for the 70 million Americans who benefit from Social Security.
Leland Dudek was the acting commissioner before being succeeded by Bisignano, and he oversaw the agency during significant turbulence, such as staff reductions and departmental closures. The public still has a vote regarding certain federal decisions, as was seen after plans were announced to lay off 7,000 employees. Thanks to public outcry, the plans were reversed. Bisignano may have to face public backlash after some decisions.
New leadership, potentially the same controversies
The SSA introduced AI-driven telephone systems to shorten wait times and enhance fraud detection capabilities. Digital Social Security numbers (SSNs) have been implemented to lower administrative burdens.
- These technological enhancements have raised concerns about data privacy and the potential for mistakes in automated systems.
Legal SSNs for some immigrants could be canceled, and automatic SSN issuance for new citizens could be halted. The Department of Government Efficiency (DOGE) also wants access to SSA data.
- The proposed policies were met with widespread criticism and legal challenges, prompting the agency to revise them.
- Concerns about privacy and the potential misuse of personal information were raised.
Commitment to protecting Social Security
Bisignano highlighted that he would focus on modernizing procedures and reducing mistakes, not changing the fundamental program structure. Bisignano guaranteed that Social Security would remain a public program and introduced huge changes that can be expected in June, two of which are big wins and one, unfortunately, is a big cut for some beneficiaries.
The huge changes beneficiaries can expect in June
Social Security benefits will be somewhat different for beneficiaries this coming June.
The two big wins
According to the SSA, the Cost of Living Adjustment will increase benefits by 2.5%. Originally applied in January 2025, these COLA adjustments will continue to be reflected in payments through June. The following can be expected following the COLA increase:
- Social Security benefits and Supplemental Security Income (SSI) payments will increase.
- The taxable maximum of Social Security will increase to $176,100.
- The earnings limit for workers below the FRA will increase to $23,400.
- The earnings limit for workers at FRA will increase to $62,160.
- No earnings limit for workers who are at FRA or older for the entire year.
Another big win is the change to the SSA policy on two payments in the same month. SSI payments are usually made on the first of each month, but when the first falls on a weekend or a Federal holiday, people age 65 or older or people with disabilities and a limited income will now receive their SSI payment on the last business day before the first of the month. This means they could receive two SSI payments in the same month.
The heartbreaking cut
Student loan debtors may have their benefits garnished. According to the U.S. Department of Education’s official statement, the Office of Federal Student Aid (FSA) will resume collecting money from borrowers who are in default, because only 38% of borrowers in default are repaying their loans. The Department plans to resume the Treasury Department Offset Program in June to withhold benefits for defaulted loans and other payments, like tax refunds and salaries.
Ensure you understand how these changes could affect you and your monthly benefits.
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