Learn how Trump’s June 2025 policy changes are reducing Social Security checks through student loan offsets and overpayment clawbacks. Discover what’s happening, why it matters, and how to protect your benefits. UPDATE: The Department of Education has paused plans to garnish Social Security benefits from defaulted student loan borrowers, delaying the resumed collections until sometime later this summer, while the Trump administration explores repayment options for affected seniors.
This breakdown covers the June 2025 Social Security cuts announced under President Trump’s new rules. It explains how student loan garnishments and overpayment clawbacks could shrink monthly checks by 15% or even up to 50%. You’ll learn how the Treasury Offset Program works, how older Americans are being affected, and what steps you can take to respond. Whether you receive Social Security, know someone who does, or want to understand how new federal policies could impact retirement benefits, this covers all the key topics in plain language.
Trump’s Social Security Cuts Hit in June – Are You Affected?
Lesson Resource
- Teaching Lesson – Teaching lesson plans related to this lesson.
Money Instructor does not provide tax, legal, or investment advice. This material has been prepared for educational and informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or investment advice. You should consult your own tax, legal, and investment advisors regarding your own financial situation. Although the information has been researched and vetted beforehand, it may not be current at the time of viewing. Please note, the context of financial investments can be complex and dynamic, necessitating professional advice tailored to your unique circumstances.
If you need help with Medicare, please contact Medicare, your local State Health Insurance Program (SHIP), your current Medicare insurance agent/broker/plan, or feel free to contact my Medicare partner, Chapter, at 615-639-1937. Chapter: Memoir, Inc. d/b/a Chapter is a privately-owned, data and technology-enabled advisory that helps older Americans navigate retirement. Insurance agency services are provided by Chapter Advisory, LLC, a licensed health insurance agency and wholly owned subsidiary of Memoir, Inc. In California, Chapter Advisory, LLC does business as Chapter Insurance Services (Lic. No. 6003691).
Chapter and its affiliates are not connected with or endorsed by any government entity or the federal Medicare program. Chapter Advisory, LLC represents Medicare Advantage HMO, PPO, and PFFS organizations and stand alone prescription drug plans that have a Medicare contract. Enrollment depends on the plan’s contract renewal. While we have a database of every Medicare plan nationwide and can help you to search among all plans, we have contracts with many but not all plans. As a result, we do not offer every plan available in your area. Currently we represent 50 organizations which offer 18,160 products nationwide. We search and recommend all plans, even those we don’t directly offer. You can contact a licensed Chapter agent to find out the number of products available in your specific area. Please contact Medicare.gov, 1-800-Medicare, or your local State Health Insurance Program (SHIP) to get information on all of your options.