Here Are the 10 States Where Retirees Would Lose the Most From the Social Security Cut

You paid into Social Security for your entire career. Naturally, you expected to reap the rewards, which you thought meant receiving a monthly benefits check that helped you stretch your retirement dollars further. But unless the government takes action, the fund keeping Social Security afloat is going to run out of money by late 2032, which means that less than six years from now, everyone receiving Social Security could see their benefits check cut by 22%.

While these cuts would be catastrophic no matter where you live, beneficiaries in some states would be harder hit than others. In fact, retirees in several states could lose more than $500 per month. Below, we review annual supplemental data for 2025 (updated in 2026) that outlines which states could see the highest loss by dollar amount for OASDI benefits.

New Hampshire

Average cut: $540.98

East Coast states have a notoriously high cost of living, but that could also come with a higher average Social Security check, and New Hampshire is no exception. For seniors used to receiving an average of $2,459.01 from OASDI, a 22% cut would mean a check that's only worth $1,918.03.

Connecticut

Average cut: $539.42

As of 2025, Connecticut had one of the highest average OASDI payments of any state ($2,451.92). That's higher than the national average Social Security payment, which was $2,088 in September 2026. But because Connecticut's Social Security checks are among the highest on average, residents also stand to lose one of the biggest chunk of cash if Social Security becomes insolvent.

Maryland

Average cut: $531.66

At 18%, Maryland has a lower percentage of retired seniors than Delaware does. However, its population is much larger, so a $531.66 benefits reduction would impact nearly 1,133,360 Marylanders. Losing that significant income would slow the state's economic growth by 1.1%.

New Jersey

Average cut: $528.99

In 2025, New Jersey residents received an average Social Security payment of $2,404.51, only a few dollars less than their neighbors in Connecticut. The 2026 cost-of-living adjustment (COLA) increased the average New Jersey beneficiary's check, but the state's increases mean a future cut could hit that much harder.

Delaware

Average cut: $523.42

Delaware's retirees were bringing in an average Social Security check of $2,379.19 in 2025. If OASDI benefits were defunded today, that number would drop to just $1,855.77 per person. Right now, 257,024 Delaware residents currently receive Social Security, which means more than 24% of the state's population would experience a sudden decrease in income.

Massachusetts

Average cut: $516.95

Massachusetts has the third-highest cost of living in the nation (only Hawaii and California come in higher), so it stands to reason Massachusetts retirees also have an above-average Social Security check to keep pace with their above-average expenses. The downside, of course, is that losing 22% of a benefits check means losing $516.95 per person per check, which spells a massive loss of $6.5 billion for the state.

Minnesota

Average cut: $513.82

Current research shows that a decade from now, one in five Minnesota residents are going to be retirement-age adults, and there would be about two retirees per five active workers. The high aging population means that more than one million retired Minnesotans receive Social Security benefits, each of them losing $513.82 per benefits payment if the 22% reduction kicks in.

Washington

Average cut: $509.44

Washington is another state outside the Northeast region where seniors would be losing over $500 a month if Social Security loses funding. Since Washington doesn't tax income, residents might not take as big a hit as those in Connecticut and Utah, two states where the Social Security income-tax thresholds are much lower.

Utah

Average cut: $489.81

As residents of one of the eight states that tax Social Security income, Utahns can't really afford to lose another $489.81 out of every benefits check, but that's exactly what would happen if legislators can't agree on a plan to fund Social Security before 2032. Older residents make up a smaller proportion of Utahns compared to states like Michigan, but the state would still lose a sum total of $2.6 billion.

Michigan

Average cut: $478.49

In chilly Michigan, more than 2.3 million residents receive Social Security benefits, which comes to 23.5% of the total population. CRFB data predicts that the state's GDP could drop 1.6% with the decreased benefits, making Michigan one of the most affected states in terms of economic slowdown if Social Security cuts take effect.

Where Social Security cuts would impact the most people

The dollar-loss rankings don't tell the whole story. In Maine, West Virginia, and Vermont, more than 22% of residents currently receive Social Security benefits, the highest shares in the country, according to the CRFB, meaning a 22% cut would ripple through communities where the financial fitness of nearly one in four people depends on the program.

Bottom line

While retirees who live off of Social Security stand to lose the most if benefits are cut, every state's economy would suffer if benefits for seniors go unfunded. A 22% reduction comes to a $345 billion loss, which equates to 1.1% of the national GDP, and a declining economy is an early warning sign for a recession, or even a full-fledged depression.

Fortunately, a Social Security benefits cut isn't set in stone. The federal government could act now to ensure Social Security lasts for at least the rest of your lifetime, but action may only happen if American voters put pressure on their elected officials. According to the National Institute on Retirement Security, Social Security is a widely nonpartisan issue, so no matter who represents you or how you tend to vote, make sure your representative hears your voice: protecting Social Security (and the country's economic future) could depend on you speaking up.

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