With the Social Security Administration’s own projections indicating the system will be unable to pay full benefits by the end of 2034 and no definitive plan in place to reverse the flow, more than half of all Americans say they doubt they’ll receive benefits when their time comes.
Many retirees also fear they will see their benefits cut as the system struggles to keep up with demand.
The latest figures come courtesy of Gallup researchers who delved into public perceptions about the system as the government program neared its 80th anniversary.
To arrive at their findings, Gallup researchers polled 2,020 adults, age 18 and older, in the United States. Telephone surveys were conducted between July 8-12 and Aug. 5-9., 2015.
Fears Have Lingered for Decades
The latest survey indicated that 51% of non-retired Americans doubt the system will have the ability to pay benefits when they retire.
While the numbers have gone up and down through the years, Gallup noted the 2015 response was quite similar to the doubt harbored when similar questions were asked back in 1989. At that time, some 47% said they believed they would not see benefits in retirement.
While doubts are high, skepticism varies by age, Gallup found. When asked if they believe Social Security would be able to pay them a benefit, people answered no by age group as follows:
- 18 to 29 – 64%
- 30 to 49 – 63%
- 50 to 64 – 30%
- 65+ – 6%
The higher numbers are representative of those Americans who would either be retired or still in the workforce when the projected insolvency of 2034 arrives.
Benefit Cuts Are Also a Concern
Many Americans are also concerned that Social Security benefits will be cut to compensate for the reducing cash flow.
A total of 43% of current retirees polled by Gallup believe they will see a cut in their benefits. The number is down from 2010’s 56%, but is up from the 32% recorded by Gallup in 2005.
The most recent survey revealed that 66% of Americans believe Social Security is in a state of crisis (21%), while 45% say it has major problems. Gallup estimates that at least two-thirds of Americans have viewed the system has been having problems or being in crisis since 1998.
Fixing the System
Pollsters also asked respondents to share their views on two possible fixes for the system: increased taxes or benefit cuts.
The majority of respondents in the recent poll, 51%, said they would prefer to see taxes rise to cover the gaps. Only 37% favored benefit cuts with 12% having no opinion.
The bottom line, Gallup noted, is that many Americans see Social Security as a pillar of a strong U.S. economy.
Even so, there are few visible signs that government is working toward a solution to keep it afloat. This is complicated by the fact that no definitive way to fix the system has been presented that would likely gain widespread support.
“Americans have a slight preference for raising taxes over reducing benefits, but previous research shows that neither of these alternatives receives high levels of support from the U.S. public,” Gallup noted.
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