Millions of Older Americans Face Potential Cuts to Social Security Retirement Payments

Millions of older Americans are facing a financial challenge due to outstanding student loan debt, which could impact their retirement plans. There are 2.2 million people over the age of 55 with outstanding loans, risking up to 15 percent of their Social Security retirement payments if they default. Debt-burdened older workers may struggle with loan repayment well into their later years, affecting their ability to save for retirement. The report suggests policy interventions to ease the debt burden on older workers, such as axing Social Security garnishing and improving the student loan forgiveness program. The Biden administration's SAVE Plan aims to provide debt relief and adjust monthly payments based on income thresholds.