Newsweek recently reported a significant drop in the number of people receiving Social Security benefits in the United States. The number of people receiving specific types of Social Security benefits each month has decreased, despite the fact that more baby boomers are reaching retirement age.

Supplemental Security Income, or SSI, is a benefits program available to both low-income and disabled older adults.

Around 200,000 people decrease in beneficiaries receiving Social Security benefits

The most recent SSI figures show that 7.43 million Americans received checks in January. That figure had dropped to 7.41 million by October, representing a roughly 200,000-person decrease overall.

Alex Beene, a financial literacy instructor at the University of Tennessee at Martin, says that fewer people are applying for and receiving Social Security disability benefits. Similarly, Beene told Newsweek that the rising cost of living and more welcoming workplaces created by companies looking to hire more employees could be contributing.

While the number of Baby Boomers retiring is increasing, so is the number of seniors who choose to continue working for a few more years and postpone receiving benefits.

Previously regarded as a retirement boon, Social Security costs have skyrocketed for the majority of Americans, making it understandable that some are choosing to forego or postpone them. According to Michael Ryan, the founder of michaelryanmoney.com and a finance expert, there are several reasons for the change.

Even though baby boomers are currently retiring, many of them are reconsidering retirement and pursuing “encore careers” well into their late 60s and early 1970s.

People are not only living longer lives, but also remaining professionally engaged for longer periods of time, thanks to advances in healthcare and lifestyle choices, Ryan told Newsweek.

Given that the average 65-year-old is likely to live for another 20 years, they will have an unprecedented number of opportunities to continue working. Contrary to popular belief, some seniors continue to work remotely or in flexible consulting roles after retirement. Delaying retirement also has financial advantages. Your Social Security check will be larger at that point.

Furthermore, the maximum monthly income for people who choose to retire at age 70 is $4,873. In contrast, people who retire at the age of 62 in 2024 earn a maximum of $2,710.

Despite the fact that fewer people receive SSI benefits, the Social Security Administration is experiencing funding issues. If nothing changes, analysts predict that the fund for full payouts will run out in the early 2030s. Ryan believes the message to policymakers is clear: traditional retirement models are no longer relevant.

For an older population, we need new approaches to financial education, social assistance, and workforce integration.

Social Security will have a new commissioner

President-elect Donald Trump has nominated Frank Bisignano to be the Social Security Administration’s commissioner. Bisignano, CEO of financial services firm Fiserv, has a track record of changing large corporations and will be held accountable for fulfilling the agency’s promise to the American people.

Trump praised Bisignano’s leadership abilities and ability to influence large corporations such as Citigroup and JP Morgan Chase. Bisignano will lead Fiserv for the foreseeable future.

If confirmed by the Senate, Bisignano will be in charge of ensuring the Social Security program‘s long-term viability, as the trust fund may run out in 2035.

During his campaign, Trump promised not to reduce benefits for over 67 million elderly or disabled Americans, but he made no legislative recommendations to ensure the program’s viability. Trump praised Bisignano’s ability to guide financial services companies through significant change.

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