His long‑standing caution rings louder after trustees forecast a 23 % cut when reserves dry up in 2033.
Millions of Americans count on Social Security to keep the lights on in retirement, but a warning from Berkshire Hathaway chairman Warren Buffett has put the program’s finances in the spotlight. The famed investor reiterated that any reduction in promised benefits would be “a mistake,” yet projections show retirees could face that outcome if Congress does nothing.
Why almost half of Americans over 65 rely on Social Security income
Roughly 40 % of men and 44 % of women age 65 and older receive at least half of their total income from Social Security. With the average retirement check hovering near $2,000 a month, the program is more safety net than supplemental perk—especially as rents and grocery bills keep climbing.
| Metric | Figure |
|---|---|
| Men 65 + who get ≥50 % of income from Social Security | 40 % |
| Women 65 + who get ≥50 % of income from Social Security | 44 % |
| Average monthly retirement benefit (2025) | $2,000 |
Those numbers highlight why any trim would bite hard. After all, could you stretch $2,000 to cover housing, medication, and utilities every month?
Inflation and soaring living expenses are squeezing retirees’ budgets past the breaking point. The past two years have forced older Americans to juggle impossible choices: skip prescriptions, downsize meals, or postpone retirement altogether. Even after cost‑of‑living adjustments, higher prices for essentials are erasing much of the gain.
Trust fund depletion in 2033 could slash benefits by roughly twenty‑three percent overnight
Trustees of the Old‑Age and Survivors Insurance Fund warn its reserves may be exhausted by 2033. If that happens, incoming payroll taxes would cover only about 77 % of scheduled benefits—an instant 23 % haircut. Could you absorb a one‑quarter pay cut the year you hang up your work boots?
Lawmakers have limited but urgent tools to shore up Social Security finances in time. Washington still has options, but the window is closing fast:
- Increase the payroll tax rate modestly
- Raise or eliminate the wage cap that exempts income above $168,600
- Gradually lift the full retirement age for younger workers
- Inject other federal revenue or adjust investment strategies
Acting on one—or a blend—of these fixes soon could spare retirees a painful shock. Buffett’s blunt reminder underscores a simple truth: Social Security is a lifeline, and letting it fray would reverberate through every community. Seniors, advocates, and lawmakers alike must keep the pressure on Congress to act before 2033 turns from warning to reality.