Summary
The Social Security Administration (SSA) will stop using paper checks for payments and switch to electronic payment methods starting September 30. This change affects around 500,000 beneficiaries who still receive paper checks. The shift aims to make payments faster and lower costs for the government.
Key Facts
- The SSA will end paper checks and require electronic payments from September 30.
- About 70 million people receive Social Security payments, including retirees and people with disabilities.
- Around 0.8% of beneficiaries, or over 500,000 people, still use paper checks.
- The change is expected to cut government costs by over $2 million annually.
- Electronic payments will be made via bank deposits or prepaid debit cards.
- The initiative is a part of modernization efforts started under President Trump.
- Beneficiaries can switch to electronic payments through "my Social Security" accounts or Direct Express services.
- A limited waiver will allow some people to continue receiving paper checks if they cannot switch.
