Outgoing Sen. Bill Cassidy (R-La.) said Sunday he is working on building consensus for his proposed reforms to Social Security, warning that the program is approaching insolvency and could trigger significant benefit reductions if Congress does not act.
The Louisiana Republican, who chairs the Senate Health, Education, Labor and Pensions Committee, outlined his concerns during an appearance on CBS News's "Face the Nation." He noted that under current law, beneficiaries could face a 22 to 25 percent cut in their benefits once the Old-Age and Survivors Insurance Trust Fund becomes exhausted.
Earlier this month, the Social Security Board of Trustees released its annual report projecting that the OASI Trust Fund will be able to pay 100 percent of scheduled benefits through the fourth quarter of 2032. That deadline is one quarter earlier than last year's projection. After that point, the fund would cover approximately 78 percent of total scheduled benefits, a slight improvement of 1 percentage point compared to last year's estimate.
Cassidy has joined forces with three colleagues from across the aisle on this issue. Earlier this month, he joined Sens. Thom Tillis (R-N.C.), Dick Durbin (D-Ill.) and Tim Kaine (D-Va.) in issuing a joint statement calling on Congress to address the program's funding challenges.
What the Left Is Saying
Democratic lawmakers have expressed willingness to work on bipartisan solutions while emphasizing that any reforms must protect beneficiaries, particularly vulnerable populations such as seniors, people with disabilities, and survivors of deceased workers.
Sen. Dick Durbin (D-Ill.) said in the June 10 joint statement alongside Cassidy, Tillis, and Kaine that Congress must "join us in doing what we were elected to do — legislate on hard issues and protect this lifeline program for our kids and grandkids."
Progressive advocates have raised concerns about proposals that could shift Social Security toward private investment accounts or reduce benefits. They argue that the program has functioned successfully as a defined-benefit system for nearly 90 years and warn against changes that could expose retirees to market volatility.
What the Right Is Saying
Conservative Republicans, including Cassidy, have argued that incremental reforms are necessary to preserve the program long-term before benefit cuts become unavoidable. Cassidy's own proposal calls for establishing a $1.5 trillion investment fund separate from Social Security's existing trust funds over five years.
"Over 65 to 70 years, the money in the fund would grow to 60 percent to 65 percent of the program's unfunded accrued liability," Cassidy told CNBC earlier this month. He emphasized that he has been developing the proposal "for about six years" and intends to continue working toward implementation.
Some conservative economists have supported investment-based approaches as a way to generate returns that could help address Social Security's long-term funding gap without purely relying on tax increases or benefit cuts.
What the Numbers Show
The 2026 Trustees Report provides concrete data on Social Security's financial trajectory. The OASI Trust Fund exhaustion date has moved up one quarter from last year's projection of Q1 2033 to Q4 2032, representing approximately three months of acceleration in the insolvency timeline.
Once exhausted, the program would cover only 78 percent of scheduled benefits — an improvement of 1 percentage point from last year's 77 percent estimate. This slight improvement reflects updated economic assumptions but still represents a significant shortfall.
The Social Security system currently provides benefits to approximately 57 million retirees, 6 million disabled workers, and 6 million survivors of deceased workers. The program collected approximately $1.2 trillion in payroll taxes in fiscal year 2025 while paying out roughly $1.4 trillion in benefits, creating an annual deficit that is drawing down trust fund reserves.
The combined unfunded liability for Social Security over the program's 75-year projection window stands at approximately $22 trillion, according to the Trustees Report.
The Bottom Line
Social Security's approaching insolvency deadline has created rare bipartisan agreement that Congress must act. While Cassidy and his cross-party group of colleagues have signaled openness to compromise, significant policy differences remain between those who prioritize benefit protection and those advocating for structural reforms involving investment mechanisms.
The 2032 exhaustion timeline gives lawmakers roughly six years to negotiate changes before beneficiaries face automatic reductions. What form any eventual legislation takes will likely depend on broader political dynamics in Congress and the outcome of upcoming elections that could reshape the legislative landscape.
Cassidy, who lost his Senate primary last month to a Trump-backed challenger, acknowledged he is working on the plan despite his impending departure from office, saying "I am still working on that plan, and I want to bring it to completion."