For millions of Americans, Social Security is more than just a monthly check—it’s a safety net that helps pay for essentials like food, rent, and medicine. But now, a new policy from the Trump administration could mean smaller payments for around 2 million people.
Let’s break down what’s changing, why it matters, and what you can do if you’re affected.
Why Some People’s Social Security Payments Might Shrink
Under President Trump’s new plan, the government is restarting efforts to collect unpaid debts—especially from seniors who still owe money on their student loans. It might surprise you, but lots of older Americans still have student loan debt.
In fact, the U.S. Department of Education says that as of April 2025, around 3.59 million Americans aged 60 and older still owe part of the country’s $1.6 trillion student debt. Even more concerning, a January 2025 report found that 452,000 people aged 62 or older are behind on their payments—and many rely on Social Security to make ends meet.
How Much Could Be Taken Each Month?
Starting this summer, if you’re behind on your student loans, the government could take up to 15% of your Social Security check each month to pay off the debt. This doesn’t just affect retirees—it also includes people on disability and survivor benefits.
For example, if you get $1,500 a month from Social Security, they might take $225 out of your payment each month. And that’s before things like your Medicare Part B premium come out, so it could feel like you’re losing a big chunk of your money.
Less Time to Prepare for Garnishment
Before COVID-19, people who were behind on their loans got about 65 days’ notice before the government started taking money from their Social Security. Under Trump’s new policy, that notice period is cut in half—to just 30 days. That’s not a lot of time to get help or make other plans.
A Small Safety Net
Here’s a small piece of good news: the government has to leave you with at least $750 per month after garnishment. So, if your Social Security check is $800, they can only take $50, even if 15% would have been more.
What’s Next?
This change is set to start in the summer of 2025. If you think you might be affected, it’s a good idea to call your loan servicer or the Social Security office to talk about your options. They might be able to help you set up a payment plan or get other assistance.
Conclusion
Trump’s new policy could make it harder for around 2 million Americans to keep up with their bills. Losing up to 15% of your monthly Social Security payment is no small thing, especially when you depend on it for basics like rent and groceries.
If you’re worried about your payments, don’t wait—reach out to your loan servicer now and ask about what you can do to protect your benefits. Staying informed and taking action now can help you avoid surprises later.
FAQ’s
Q1: Why would my Social Security payment be reduced?
A: If you have unpaid student loans, the government can now take up to 15% of your Social Security payment to cover those debts.
Q2: How much time do I have to act before garnishment starts?
A: Under the new policy, you’ll get just 30 days’ notice before the government begins taking money from your check.
Q3: Is there a limit to how much they can take?
A: Yes, you’ll be left with at least $750 a month, even if the 15% garnishment would take you below that amount.
