U.S. Social Security program; funds retirement, survivor and disability benefits
The United States has reached a $40 trillion national debt, with long-term yields at their highest since 2007. Treasury actions including debt buybacks aim to steady markets, but analysts warn that only structural deficit reduction will curb borrowing costs long term.
The US has passed $40 trillion in total public debt, the Treasury has reported, driven by large pandemic-era and recent spending and tax changes. Interest payments have risen sharply and are now a larger budget item than many programmes. Treasury officials argue growth can be managed by stronger economic growth and fiscal consolidation.
The Independent reports a proposed, ongoing plan to boost Social Security benefits for most current beneficiaries, alongside changes to how future COLAs are calculated. The plan, part of Sanders’s Social Security Expansion Act, would tax earnings above $250,000 and is described as a response to long-term insolvency concerns facing the program. No start date is set, as the measure remains a proposal awaiting congressional action.
Voters show broad support for reforms to shore up Social Security as fund depletion looms in 2032; surveys indicate rising awareness and willingness to accept tax hikes or benefit adjustments, with Republican and Democratic voters largely aligned.
The Social Security Administration has announced a 3.6% cost‑of‑living adjustment for 2027, the largest in three years, with benefits across Social Security and SSI set to rise starting January. The adjustment is tied to CPI‑W data and will affect roughly 72‑73 million beneficiaries, though many say the increase won’t fully offset inflation.
The Treasury has reported that federal net interest costs for the 2026 fiscal year have reached about $1.05 trillion, making debt service the third-largest federal outlay and larger than defense. The fiscal deficit has widened to roughly $2 trillion for the year, driven largely by higher interest payments as Treasury yields have climbed.