Former Treasury Secretary Jack Lew Warns Lawmakers About Social Security Funding Challenges
Former U.S. Treasury Secretary Jack Lew warned that lawmakers should begin addressing the funding challenges of Social Security well before its projected exhaustion date, which is expected in late 2032. Speaking on CNBC's 'The Exchange,' he emphasized the need for bipartisan action similar to the successful reforms enacted in 1983 under a divided government. Lew noted that solutions become increasingly difficult as the program nears insolvency and urged future presidential and Senate candidates to remain open-minded about potential changes, such as adjusting the taxable wage cap or payroll tax structure. He also highlighted recent debates over proposals aimed at increasing Social Security taxes or altering income thresholds for taxation. The 2026 Social Security trustees report projects that by late 2032, only 78% of scheduled benefits will be payable due to trust fund depletion.
