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July 22, 2026 Advisor News
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How much could failure to fund Social Security cost average Americans?

By Press Release

DANVERS, MA, July 22, 2026 – A new report from HealthView Services underscores the financial impact on future retirees of potential Social Security benefit reductions unless Congress takes steps to fund the program. The report shows a 54-year-old couple retiring in eight years receiving average Social Security benefits could lose more than $160,000 over their lifetime and a high-income couple receiving maximum benefits as much as $500,000. Even if changes are made to extend solvency, it notes that there will be a financial impact on future retirees who should consider possibility of lower Social Security benefits as they build retirement plans.

The new paper, “Social Security Solvency & Retirement Planning: Calculating Lost Benefits and Income Solutions,” provides reference data based on the assumption outlined in the most recent Social Security Trustees Report that the retirement and disability funds will be combined to extend solvency and reduce the impact of potential cuts on retirees. Using a 17% decline in Social Security payments starting in 2034, the report shows that a couple receiving an average Social Security PIA would lose between $161,000 to $194,000 in lifetime benefits based on their claim ages. For a couple receiving maximum Social Security benefits, the reduction is between $425,000 and $509,000.

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“Even though we are getting closer to the deadline, Social Security’s solvency is still resolvable by increasing FRA, adjusting the cap on contributions, or through a combination of different options,” said Ron Mastrogiovanni, CEO of HealthView Services. “Whether or not changes are made to the program, Americans will be negatively impacted financially. This paper - and our new advisor tool to calculate benefits based on a range of Social Security outcomes - are a data-driven starting point to understand the impact on budgets and the funding required to address shortfalls in expected retirement income.”

The data is based on the couples living to average longevity based on Social Security’s actuarial tables of 81 for the male and 84 for the female. To make up for this lost income, assuming a 6% return on investment, the average benefits couple would need to set aside between $52,000 and $55,000 today, and the couple receiving maximum benefits between $123,000 and $130,000.

The report also details the cost in lost benefits of a one-year delay in FRA to age 68 from 67. This would result in a loss of $72,000 in benefits for the average earning couple and $252,000 for the high-earning couple. A 0.5% reduction in annual COLAs will reduce lifetime benefits by between $100,000 and $300,000. A 17% decline in benefits will mean that 96% of lifetime Social Security income will be needed by the average income couple to address healthcare expenses versus 80% today.

“Any reduction in guaranteed income, regardless of the source, will put significant pressure on retirees’ budgets and financial security,” said Michael R. Daley, Director of Research and Marketing, HealthView Services. “As the data show, the impact of the loss of even a portion of the lifetime income that Social Security provides is significant. Since we cannot predict what will happen in Washington, it is important to run the numbers for individual clients based on potential solvency scenarios, their income, expected retirement age and longevity.”

HealthView Services’ new ClaimSync Social Security calculator provides advisors with the ability to project and optimize income based on an individuals’ or couples’ PIA, expected longevity, and claim age. It also includes the ability to incorporate a range of scenarios around cuts to benefits that provide a clear sense of the dollar impact of potential changes to the Social Security program.

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