Social Security change capping benefits payments at $50,000 a year: Experts’ solution to the SSA going broke in 7 years

With Social Security on track to go broke in less than seven years, a new report from the Committee for a Responsible Federal Budget (CRFB) is proposing a solution: Cap Social Security payouts to $100,000 a year for couples, as part of an overall plan to save it from insolvency. (That’s $50,000 for a single retiree.)

The renewed spotlight on Social Security follows a recent report from the Congressional Budget Office (CBO) that the main trust funds responsible for paying benefits, the Old-Age and Survivors Insurance Trust Fund, could be insolvent by as early as 2033. By law, that would automatically trigger a massive 24% cut in benefits.

On top of the higher cost of living, including higher grocery and gas prices, this would mean a big financial hit for seniors.

One reason the CBO is forecasting Social Security could go broke sooner than expected is that the Social Security Administration has had to increase COLA (cost-of-living adjustment) payments to keep up with inflation. SSA made a 2.8% COLA increase for 2026, and is projecting, on the high end, a 3.1% adjustment for 2027.

The “Six-Figure Limit”

The CRFB’s proposed “six-figure limit” (SFL) would take effect this year and establish a new maximum benefit for a couple retiring at the normal retirement age (NRA), adjusted based on marital status and collection age. (Retirees can start collecting benefits between ages 62 and 70, though the full retirement age is 67.)

Currently, only the highest-income couples can collect $100,000 a year in Social Security benefits, which represents a small fraction of retirees.

How would the Six-Figure Limit improve Social Security solvency?

In short, the SFL would create small savings that could grow over time.

Looking at a few different models, some changes could save $100 billion over 10 years, while others could close “20% of Social Security’s solvency gap and three-fifths of the 75th-year deficit . . . indexed to inflation,” according to the CRFB.

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