Americans Are Claiming Social Security Early Over Fears It Will Run Out. Here's What the Data Really Says

The words 'Social Security is running out of money' can sound like a warning that retirement cheques could one day simply stop arriving. That fear is already influencing when some Americans plan to claim benefits.

But that is not what the latest government projections show. Social Security's retirement trust fund is projected to deplete its reserves in late 2032. Even if Congress made no changes, payroll taxes and other continuing income would still flow into the programme and fund most scheduled retirement benefits.

Americans Are Planning to Claim Early

A 2026 retirement survey by Schroders found that 45% of non-retired Americans planned to claim Social Security before age 67. Just 10% intended to wait until 70, when delayed retirement credits stop increasing a worker's benefit. The survey covered 1,500 US investors aged 30 to 79 between 20 March and 15 April.

Among those planning to claim before 70, 45% said they needed the money earlier for regular income. Another 43% wanted access to it as soon as possible, while 40% cited concern that Social Security could run out of money or stop making payments. Deb Boyden, head of US defined contribution at Schroders, said people were making decisions based on immediate cash-flow needs and uncertainty rather than maximising lifetime benefits.

Fear Is Influencing Retirement Decisions

Evidence from other research suggests concerns about Social Security's finances have already influenced some claiming decisions. A 2025 AARP survey of Americans aged 50 and over found that 49% of those who had recently claimed benefits earlier than planned, or were considering doing so, cited reports that Social Security was running out of money.

Joel Eskovitz, senior director of Social Security and savings at the AARP Public Policy Institute, described claiming Social Security as a lifetime decision because starting earlier can leave recipients with smaller monthly benefits. However, financial circumstances differ. Some people need the income earlier, while health, employment, other retirement savings, and expected longevity can also affect when an individual chooses to claim.

What Happens When the Fund Is Depleted?

The latest official projections provide an important distinction between depleted reserves and Social Security having no money. The 2026 Social Security Trustees Report projects that the Old-Age and Survivors Insurance Trust Fund, which pays retirement and survivor benefits, will be able to pay scheduled benefits in full until the fourth quarter of 2032.

At that point, its reserves are projected to be depleted. Continuing programme income would be enough to cover about 78% of scheduled OASI benefits if lawmakers made no changes. The Disability Insurance Trust Fund, meanwhile, is projected to remain able to pay full scheduled benefits throughout the 75-year projection period.

If the two legally separate Social Security trust funds were hypothetically combined, their reserves would be depleted in the third quarter of 2034. At that point, about 83% of scheduled benefits could be paid.

Many Americans Misunderstand What Depletion Means

Confusion about the programme remains widespread. An AARP survey conducted between 14 and 18 May 2026 found that only 23% of US adults correctly understood that Social Security could continue making partial payments after trust-fund reserves were exhausted if no legislative changes were made.

Martha Shedden, president of the National Association of Registered Social Security Analysts, has also challenged the assumption that depletion means payments disappear entirely.

The distinction is crucial to the question of worrying retirees. Under current projections, Social Security's retirement reserves could be depleted. That would create a substantial funding gap if Congress did not act. But continuing tax revenue means depletion, on its own, would not leave the programme with no money to pay benefits.