Despite more baby boomers becoming retirement age, the Social Security Administration has seen a drop in beneficiaries of certain kinds of Social Security payments each month.
Supplemental Security Income, or SSI, is a benefits program available to people with disabilities as well as older adults with little to no income.
According to recent SSI data, 7.43 million Americans were receiving SSI checks in January. By October, that number had declined to 7.41 million, showing an overall decline of roughly 200,000.
Alex Beene, financial literacy instructor for the University of Tennessee at Martin, said in general, fewer people are enrolling in and receiving Social Security disability payments.
"The higher cost of living combined with more inclusive working environments from employers eager to get more employees under their umbrella could be playing a role," Beene told Newsweek.
"For seniors, we're seeing increasing numbers of Baby Boomers who are retiring, but we're also seeing a surge in those in that age group sticking in the workforce for a few more years and delaying tapping into their benefits. Social Security was once looked at as a blessing of retirement, but with costs dramatically higher for most Americans, it's easy to see why some are forgoing or waiting on them."
Michael Ryan, finance expert and founder of michaelryanmoney.com, said the shift can be explained by several factors. While baby boomers are retiring these days, they're also reimagining retirement, with many creating "encore careers" even into their late 60s and 70s.
"Improved healthcare and lifestyle changes mean people aren't just living longer—they're staying professionally active longer," Ryan told Newsweek. "The average 65-year-old today can expect to live another 20 years, creating unprecedented opportunities for continued workforce employment."
Challenging the traditional retirement narrative, other seniors remain easily employed in remote work or have flexible consulting roles.
There are financial benefits to waiting until later for retirement as well. At that point, your Social Security check will be higher.
In 2024, those who retired at 70 saw a maximum monthly benefit of $4,873. That's compared to those who retired at age 62 in 2024, who see a maximum benefit of only $2,710.
Even as fewer people earn SSI payments, the Social Security Administration faces a funding crisis. Analysts have estimated that the fund for full payments will run out by the early 2030s if nothing changes.
"For policymakers, the message is clear: traditional retirement models are obsolete," Ryan said. "We need new strategies addressing workforce integration, financial education, and social support for an aging population."
English (US) ·