10 Jaw-Dropping Stats About the State of Retirement in America

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The Social Security Administration (SSA) will pay benefits to nearly 68 million Americans every month in 2024 for a total of more than $1.5 trillion over the course of the year. That’s more than the entire annual GDP for many countries. But even those gargantuan numbers aren’t the most striking statistics regarding the biggest program for retirees in America’s social safety net.

Here’s a look at 10 astonishing statistics about Social Security.

It Keeps Nearly 23 Million Americans Out of Poverty

According to the Center on Budget and Policy Priorities, 22.7 million more people would live below the poverty line without their Social Security benefits. No anti-poverty program in America can boast a comparably successful track record.

The number of minors living in poverty would jump by 900,000 without Social Security. For adults between 18-64, it would increase by around three percentage points. But older Americans stand to lose the most by far. 

For those 65 and up, the percentage living in poverty would rocket from the current 10.2% to 38.7%.

Around 90% of Older Americans Rely On It

Those over 65 would suffer without Social Security the most, because so many in that age group rely on the program to get by. According to the SSA, nearly nine out of 10 in the 65-plus demographic collect benefits — and those benefits account for 30% of all income among seniors, in general. About 40% of them — 37% of men and 42% of women — rely on Social Security for at least half their income.

Another 12% of men and 15% of women count on Social Security for 90% of their income.

More Than 1 Out of 5 Beneficiaries Are Not Retirees

While most beneficiaries are retired workers — about 77.8% — more than one in five are not.

Additionally, about 7.2 million recipients are disabled workers, and the program also covers their 1.1 million dependents. Roughly 25% of today’s 20-year-olds will become disabled before they turn 67, which is especially problematic considering 65% of private-sector employees do not have long-term disability insurance.

Another 5.8 million Social Security recipients are survivors, which leads to another distressing statistic: More than one in eight of today’s 20-year-olds will not live to the current full retirement age of 67.

Women Get About 77 Cents for Every $1 Paid to Men

According to the SSA, women have longer life expectancies than men and therefore spend more years collecting Social Security — 21.1 years after turning 65 compared to 18 years for men. The result is that women account for 55.2% of beneficiaries ages 60 and up, and that number naturally rises with age. Women represent 63.3% percent of beneficiaries 85 and older.

According to the SSA, women also tend to earn lower incomes and spend fewer years in the workforce, which reduces their average benefits. The median woman’s monthly benefit is $1,623, which is much lower than the $2,080 paid to the median man.

Each Degree Level Adds Hundreds per Month in Benefits

The median monthly Social Security benefit increases with each consecutive educational level achieved. According to the SSA, here’s how median monthly benefits vary by degree:

• Less than high school: $1,301
• High school diploma: $1,697
• Associate degree: $1,870
• Bachelor’s degree: $2,077
• Graduate degree: $2,333

White Recipients Get Hundreds More per Month Than Minorites

Race joins gender and education as the three major factors behind Social Security disparity. According to the SSA, here’s how median monthly benefits vary by ethnicity:

• White, non-Hispanic: $1,926
• Black or African-American, non-Hispanic: $1,618
• Hispanic or Latino, any race: $1,328
• All other races, non-Hispanic: $1,606

Beneficiaries Got Their Biggest Raise in 4 Decades Last Year

Congress mandated annual cost-of-living adjustments (COLAs) to help benefits keep up with inflation in 1975 — and the biggest COLA in history came just six years later in 1981.

The second-biggest was in 2023, in response to the painful inflation of 2022: Recipients got an 8.7% raise in 2023, increasing the average beneficiary’s monthly check to $1,827 from $1,681 the year before — and that, too, was the result of a big boost. In 2022, recipients enjoyed an unusually high 5.9% COLA.

In 1981, it was a whopping 11.2%.

The SSA Cuts Dozens More Checks per Recipient Today

In 1940, the average 65-year-old had a life expectancy of just under 14 years. Today, it’s more than 20 — at a bare minimum, that’s 72 extra checks for someone who claims benefits at 65.

The SSA has to dig deeper every year to meet its obligations, and that trend is not on pace to change any time soon.

Each Recipient Will Lose Half a Taxpaying Worker in 12 Years

In 2022, there were 58 million Americans over 65. The SSA projects that number will grow to 77 million in 2035.

As the number of potential beneficiaries increases, the workers supporting them are spread thinner and thinner. In 2023, there were about 2.7 covered workers for every beneficiary. By 2035, it will be just 2.4.

Benefits Are on Pace To Fall by Over 15% in 2035

According to the SSA, the trusts that fund Social Security will be depleted by 2035. That year, incoming taxes alone will have to fund the program — but it won’t be enough. Without congressional action, the program will be able to pay just 83% of scheduled benefits in 12 years.

Martin Dasko contributed to the reporting for this article.

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