HARRISBURG, Pa. — By 2035, Social Security is expected to be depleted and annual Social Security taxes are only expected to cover about 3/4 of the benefits each year after that.
The potential that Social Security may run out in about 15 years may drastically impact some people's plans for retirement.
"People need to start thinking really hard about how Social Security will be different for many of us," Dmitriy Krichevsky, an associate professor of economics at Elizabethtown College, said.
If Congress does not act to find funding elsewhere to keep the program running at its current rate, Krichevsky says, there are two changes that could happen to Social Security benefits.
"Either the retirement age is going to go up or the benefits are going to go down," he said. "Both of these scenarios make it very difficult to rely on that."
As millions of Americans rely on Social Security to help them through retirement, Krichevsky says, the best things younger people can do right now are:
- Plan for retirement without accounting for Social Security benefits
- Adjust your investment strategy to maximize your savings. For example, taking full advantage of your employer's 401(K) matching funds
To hear more of what Krichevsky had to say, check out the clip above.