### Trump’s Tax-Cut Plans May Accelerate Social Security Insolvency, Says Budget Group

In a recent analysis by the nonpartisan Committee for a Responsible Federal Budget (CRFB), it was revealed that former President Donald Trump’s tax-cut proposals could hasten the depletion of Social Security funds. According to the CRFB's US Budget Watch 2024, Trump's proposed financial policies would make Social Security insolvent by Fiscal Year 2031, three years earlier than current projections.

The CRFB estimates that Trump's agenda would increase Social Security's 10-year shortfall by a staggering $2.3 trillion through FY 2035. This shortfall could lead to a 33% across-the-board cut in benefits by 2035, a significant rise from the 23% reduction currently anticipated by the Congressional Budget Office (CBO).

Despite these dire projections, Trump has vowed to protect Social Security and Medicare, similar to Democratic nominee Kamala Harris. However, his plans to eliminate taxes on Social Security benefits for seniors, end taxes on service workers' tips and overtime wages, reduce corporate tax rates, and impose wide-ranging tariffs could further erode Social Security's financial stability.

The Trump campaign has responded critically to the CRFB's findings. Campaign spokeswoman Karoline Leavitt labeled the CRFB experts as consistently inaccurate and reaffirmed Trump's commitment to safeguarding Social Security in his proposed second term. Leavitt also suggested that Kamala Harris’s policies pose a greater threat to the program's solvency by potentially increasing the influx of undocumented immigrants.

Social Security trust funds are currently projected by the CBO to be exhausted by FY 2034, with the retirement benefits fund potentially depleting as early as 2033. This close timeline underscores the impact of any significant fiscal policy changes. Maria Freese of the National Committee to Preserve Social Security and Medicare, which has endorsed Harris, emphasized that cuts to income and payroll taxes would naturally diminish the revenue needed to sustain these trust funds.

Andrew Biggs, former principal deputy commissioner of the Social Security Administration, noted that while Trump's specific tax-cut proposals have direct implications for Social Security, other policies like immigration restrictions could also affect the program's sustainability. He observed that policy changes influencing the broader economy or tax code could significantly impact Social Security and vice versa.

As the debate over Social Security's future continues, both campaigns may need to offer more detailed plans on how they propose to ensure the program's long-term viability.