Government shutdowns are a recurring challenge in the United States, often stemming from political disputes over federal funding. While these shutdowns can disrupt many government functions, questions frequently arise about their impact on Social Security benefits. For the millions of Americans who rely on Social Security for retirement, disability, and survivor or auxiliary benefits, even the possibility of a disruption can create concern. Understanding how Social Security operates during a shutdown is key to navigating these uncertain periods with greater confidence.
What Causes a Government Shutdown?
Government shutdowns occur when Congress fails to pass funding legislation for the next fiscal year before the current fiscal year ends. Congress is obligated to approve budgets for many federal agencies before they are allowed to continue operating. If Congress is unable to pass some or all appropriations, a partial or full government shutdown occurs, respectively.
Are Social Security Payments Delayed Due to a Government Shutdown?
It stands to reason that if the government shuts down, anything controlled or operated by the government will be affected. Fortunately, a government shutdown would have limited effects on Social Security checks because a shutdown would only affect funds that are annually appropriated by Congress, not those that are sustained by long-term funding. Because Social Security benefits are funded through a separate trust from payroll taxes, payments are protected during shutdowns.
In the event of a shutdown, most core benefits and programs would continue, including appeals over benefits and disability claims. However, some administrative functions, like customer service or processing new applications, may slow down if the shutdown affects Social Security Administration (SSA) staff. After past shutdowns, Congress has authorized back pay to furloughed employees. This does not change the reality that government employees must survive without income until the government reopens.
How Often Does the Government Shutdown?
Government shutdowns are relatively rare, though they have been more common in recent years. Since 1976, there have been 21 partial or full government shutdowns, including four in the past decade. There is a greater risk of a shutdown during times of significant political disagreement over spending priorities.
How to Prepare for a Government Shutdown
Although Social Security benefits will continue, it’s still a good idea to be prepared for potential delays in services. Beneficiaries should ensure their contact information is up to date with the SSA and consider signing up for direct deposit to avoid mail disruptions. Those applying for benefits should do so well in advance of a possible shutdown to avoid delays. Jeffrey Freedman Attorneys can help you apply for Social Security benefits, submit appeals, and answer any other questions you may have.