In August 1935, President Franklin D. Roosevelt signed the Social Security Act into law. Its goal was to provide a financial foundation for aging workers who could no longer do so for themselves. Nine decades later, it’s still performing this task, and has expanded its protections to include workers with disabilities and survivors of deceased workers.
For most retirees, their Social Security income is indispensable. Based on 24 years of annual surveys from Gallup, 80% to 90% of retirees lean on their monthly benefit, in some capacity, to make ends meet. If something were to happen to this monthly check, retired-worker beneficiaries could find themselves in big trouble.
But for more than 1 million beneficiaries, this “what if?” has become a reality. Due to changes implemented under the Donald Trump administration via the Social Security Administration (SSA), up to 50% of Social Security checks for select beneficiaries are now being garnished. The good news is a significant percentage of those affected may be able to legally avoid it.