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A growing number of retirees are living on Social Security alone

Survey shows dissatisfaction with current benefits

Updated:

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By:
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Mark Huffman
Reporter

Mark Huffman has covered consumer issues since 2004, with a special focus on protecting and empowering older adults. A former news correspondent for the Associated Press Radio Network, Westwood One, and ConsumerAffairs, Mark brings decades of journalistic experience to RetirementLiving.com. He is passionate about giving consumers a voice and helping them make informed decisions. Mark has also created educational content, including Senior Scam Alert, a video resource designed to help seniors recognize and avoid fraud. He holds a B.A. from the University of Kentucky and lives with his family in Richmond, Virginia.
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Photo by Markus Winkler on Unsplash

Key Insights

  • Nearly 22 Million Seniors Rely Solely on Social Security: A new TSCL study reveals that 21.8 million older Americans depend entirely on Social Security for income.
  • COLA Criticism and Inflation Disbelief: 94% of seniors say the 2025 cost-of-living adjustment is too low, with most believing 2024 inflation outpaced official figures.
  • Calls for Reform Grow Louder: 95% of seniors urge policymakers to prioritize Social Security and Medicare reform in the upcoming election cycle.

Social Security was established during the New Deal as a supplemental source of income in retirement, but over the years, as the cost of living has risen and savings haven’t kept up, dependence on it has increased.

A new study by The Senior Citizens League is now sounding a warning, painting a stark picture of the financial pressures facing older Americans, with 21.8 million seniors reportedly living on Social Security benefits alone. 

The data reveals overwhelming dissatisfaction with current benefit levels and a resounding call for structural reform in how benefits are calculated and funded.

The 2025 Social Security cost-of-living adjustment (COLA), set at 2.5%, has drawn widespread criticism among seniors. According to the study, 94% of respondents believe the increase is insufficient and fails to keep pace with their actual expenses. When asked about their perception of inflation in 2024—on which the 2025 COLA is based—80% of seniors estimated it to be at least 3%, significantly higher than the government’s official figure.

TSCL Executive Director Shannon Benton underscored this sentiment:

“If four in five seniors think inflation was higher than the government reported in 2024, maybe we should stop questioning their experiences and start questioning why the COLA is failing to measure them,” TSCL Executive Director Shannon Benton said in a statement.

COLA formula under scrutiny

Nearly all seniors surveyed (96%) expressed support for reforms to the way COLAs are calculated. A strong majority favored using the Consumer Price Index for the Elderly (CPI-E) instead of the current Consumer Price Index for Urban Wage Earners (CPI-W), arguing that CPI-E better reflects the spending patterns of older Americans, particularly on healthcare and housing.

The study confirms the indispensable role Social Security plays in the lives of retirees. Nearly 75% of seniors rely on the program for at least half of their income. For 21.8 million individuals, it’s their sole source of financial support.

“Seniors depend on these checks to survive. Any cuts would push millions further into poverty and undermine their right to a secure retirement,” Benton warned.

The survey indicates that 95% of seniors want Social Security and Medicare reform to be a top priority for the incoming Presidential Administration and Congress. A popular proposal among respondents is eliminating the payroll tax income cap, a move that would require high earners to contribute more to the system.

The reconciliation bill currently before Congress doesn’t eliminate taxes on Social Security, but does provide recipients with an additional 4% tax deduction.

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