New Bipartisan Bill Proposed to Plan Major Social Security Changes

The Social Security trust fund is projected to run out in 2032, according to the 2026 Social Security Trustees Report, and senior benefits could be reduced when it does. A new bipartisan bill seeks to address Social Security solvency, establishing a plan to keep the program operating and protect benefits. While in its early stages, the bill addresses the urgency this issue requires, and it could be a first step toward avoiding automatic benefit cuts.

Here's what you should know about potential Social Security benefit cuts and what this bill might do to help.

The Social Security Commission Act

In June 2026, Representatives Tom Cole (R-OK) and Tom Suozzi (D-NY) introduced the Social Security Commission Act. The act would create a bipartisan, independent commission to address Social Security's long-term financial solvency.

"Social Security is fast approaching insolvency in 2032, and benefits will be cut if Congress fails to act. We cannot allow the promise of Social Security to be broken," said Suozzi. "The time to act is now!"

"I am going to tell you the truth that many of my fellow politicians in Washington refuse to acknowledge: the solvency of Social Security is at a critical point, and millions of Americans who have paid into this program throughout their working lives may not receive the money they deserve," Cole explained. "Therefore, doing nothing on Social Security is not an option."

What the Social Security Commission Act would do

The legislation is modeled after the 1983 Social Security Commission, which resolved Social Security's short-term financing issues. It calls for the creation of a 13-member bipartisan commission dedicated specifically to finding a solution to the Social Security program's financial insolvency for at least 75 years.

Within a year of the commission's formation, the commission would be required to report to Congress, providing recommendations to ensure that the Social Security program stays financially solvent long-term. Those recommendations must be approved by at least nine of the commission's 13 members, ensuring bipartisan support. The legislation proposed by the commission would receive expedited consideration in the House and Senate to quickly work toward a solution.

Social Security's financial insolvency

Social Security's financial insolvency is a pressing issue, and Congress needs to quickly find a solution. If the trust fund becomes depleted, an automatic benefit cut of 22% is implemented. That cut amounts to a benefit reduction of approximately $10,560 per year for a married couple of average earners.

Several factors have contributed to the trust fund's impending depletion, including an aging population, a shrinking workforce, a shrinking payroll tax, and the fact that Americans are living longer and drawing down more benefits.

Public support for the bill

The Social Security Commission Act has received widespread support from many organizations, such as the Committee for a Responsible Federal Budget, the Progressive Policy Institute, and the American Action Forum.

Experts emphasize that now is the time to act to prevent the eventual benefits cut, highlighting the importance of protecting retirement funds for Americans.

"The Bipartisan Social Security Commission Act is an important first step to getting us back on track and protecting retirement security while not compromising the long-term economic health of the nation," said Carolyn Bourdeaux, Executive Director of Concord Action.

"Saving this essential program will require bipartisan cooperation, and a Social Security commission offers the best path to a thoughtful, durable solution," said Zach Moller, Senior Director of the Economic Program at Third Way.

Criticism of the bill

The bill has already faced criticism, too. Drew Powers, founder of Powers Financial Group, noted that the changes needed to save Social Security tend to be unpopular, but are necessary. Powers stated that the Commission feels like a stall tactic that may push off those unpopular changes.

"The only bright spot is we are discussing this with more time to space than we had in 1981," he said.

The status of the bill

The bill was introduced in June, but it still needs to be reviewed in the House, voted through, and then voted through the Senate before it may be enacted. Once enacted, the commission would need to be formed and would then have a year to identify and make recommendations.

Any actual policy changes, such as potential payroll tax adjustments, Social Security benefit formula tweaks, or changes to the Social Security retirement ages, would come later on, so it could be years before actual solutions are implemented.

Bottom line

The bill proposes a process and doesn't define a fix to Social Security, but supporters argue that it's an important first step toward preventing automatic Social Security cuts. There has been lots of conversation around the issue of Social Security's insolvency, but Congress needs to work toward identifying and implementing concrete solutions before the trust fund runs out in 2032.

If you or loved ones depend on Social Security, keep watching for updates about this important issue. You may want to recalculate your retirement budget to account for reduced Social Security benefits, and it's a good idea to check in with a financial planner to make sure that you're on track for retirement.