{"id":642822,"date":"2026-08-18T02:36:15","date_gmt":"2026-08-18T02:36:15","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/642822\/"},"modified":"2026-08-18T02:36:15","modified_gmt":"2026-08-18T02:36:15","slug":"what-percentage-of-retirees-rely-on-social-security-for-almost-all-their-retirement-income","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/642822\/","title":{"rendered":"What Percentage of Retirees Rely on Social Security for Almost All Their Retirement Income?"},"content":{"rendered":"<p>      <a href=\"https:\/\/s.yimg.com\/lo\/mysterio\/api\/980B589FAE1C4D51C2E909D0D7A3FF09C03804558C5DB61BF156585A00393696\/subgraphmysterio\/resizefit_w960;quality_80;format_webp\/https:%2F%2Fmedia.zenfs.com%2Fen%2Finvestopedia_245%2Ff94d91a03f850b598e423926d1005c86.jpg\" target=\"_blank\" rel=\"noopener noreferrer nofollow\"><img loading=\"lazy\" decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" alt=\"Tax records reveal a smaller Social Security reliance than many retirement surveys suggest.Credit: draganab \/ Getty Images\" height=\"640\" width=\"960\" class=\"yf-j98iil loader\"\/><\/a> Tax records reveal a smaller Social Security reliance than many retirement surveys suggest.<br \/>Credit: draganab \/ Getty Images           Key Takeaways      <\/p>\n<ul class=\"yf-1jsc1up\">\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Only 1 in 7 retirees rely on Social Security for at least 90% of their income, according to tax-linked data.  <\/p>\n<\/li>\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Most retirees have multiple income sources, including pensions, savings, investments, and home equity, reducing Social Security&#8217;s role.  <\/p>\n<\/li>\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Surveys often overstate retirees&#8217; reliance on Social Security because many fail to report 401(k) and IRA withdrawals.  <\/p>\n<\/li>\n<\/ul>\n<p>                 Many Retirees Say Social Security Is Their Main Lifeline          <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Retirees often report that <a href=\"https:\/\/www.investopedia.com\/terms\/s\/social-security-benefits.asp\" data-ylk=\"slk:Social%20Security;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Social Security&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"null\">Social Security<\/a> is their main source of income. A 2025 Transamerica Center for Retirement Studies survey found 91% of retirees count Social Security as a source of income, and 53% name it their primary source.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Going a step further, a widely cited Senior Citizens League survey found that 39% of retirees say Social Security provides &#8220;the entirety&#8221; of their income.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">But surveys and federal tax-linked records paint very different pictures of how many older Americans rely on the program for nearly all of their <a href=\"https:\/\/www.investopedia.com\/retirement-income-sources-you-need-to-know-for-2026-11947164\" data-ylk=\"slk:retirement%20income;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;retirement income&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"recommendation-inline-link\">retirement income<\/a>. Census Bureau researchers who matched survey responses to IRS tax records found the figure was much lower.  <\/p>\n<p>        Why This Matters          <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Survey results can overstate how reliant retirees are on Social Security because many people fail to report other retirement income streams. Federal tax-linked records offer a clearer picture of how Americans actually fund retirement\u2014and how much savings, pensions, and withdrawals still matter.  <\/p>\n<p>            Tax Records Tell a Different Story          <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">An Investopedia tabulation of the March 2025 Current Population Survey (CPS) shows 24% of Americans 65 and older told federal surveyors they received 90% or more of their household income from <a href=\"https:\/\/www.investopedia.com\/terms\/s\/socialsecurity.asp\" data-ylk=\"slk:Social%20Security;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Social Security&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"recommendation-inline-link\">Social Security<\/a>.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">That figure matches the historical pattern: the Social Security Administration&#8217;s (SSA) &#8220;Income of the Population 55 or Older&#8221; report, last published in 2016, showed about one in four older adults at the 90% threshold.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">But researchers have long known that income surveys, whether from outside groups or the Census Bureau, overcount older Americans&#8217; reliance on Social Security. When Census Bureau researchers linked CPS respondents to their actual IRS tax filings and Social Security Administration benefit records, they found that retirees failed to report <a href=\"https:\/\/www.investopedia.com\/ask\/answers\/110915\/are-401k-withdrawals-considered-income.asp\" data-ylk=\"slk:401(k)%20and%20IRA%20withdrawals;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;401(k) and IRA withdrawals&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"null\">401(k) and IRA withdrawals<\/a> 46% of the time.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">As a result, their analysis reached these conclusions:  <\/p>\n<ul class=\"yf-1jsc1up\">\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Just 14% of older Americans rely on Social Security for at least 90% of their income.  <\/p>\n<\/li>\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">22% rely on Social Security for 75% or more.  <\/p>\n<\/li>\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">For 42%, it represents at least 50% of their income.  <\/p>\n<\/li>\n<li class=\"yf-1jsc1up\">\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">That means 58% rely on Social Security for less than half their income.  <\/p>\n<\/li>\n<\/ul>\n<p>    Story Continues  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The underlying tax data for this analysis dates back to 2015 because linking Census responses to IRS and Social Security Administration records took years of interagency review. But more recent evidence suggests the corrected picture likely hasn&#8217;t changed much.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">For instance, the Census Bureau&#8217;s National Experimental Wellbeing Statistics, which link survey responses to federal records through 2021, show a similar gap between what retirees report and what their records show.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Meanwhile, the share of older Americans telling Census surveyors they rely on Social Security for 90% or more of their income has barely changed\u2014from 25% in 2015 to 24% in 2024, according to Investopedia&#8217;s analysis of CPS data.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Together, these points suggest that an up-to-date tax-linked correction to Census surveys isn&#8217;t likely to land far from the same 14% figure.  <\/p>\n<p>       The Missing Income That Changes the Picture         <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">One major issue is that retirees often fail to report certain types of retirement income in surveys, especially withdrawals from <a href=\"https:\/\/www.investopedia.com\/terms\/1\/401kplan.asp\" data-ylk=\"slk:401(k)s;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;401(k)s&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"recommendation-inline-link\">401(k)s<\/a> and IRAs.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The CPS was redesigned in 2014 to improve how retirement income gets measured, but the issue persisted. That&#8217;s one reason the Social Security Administration stopped publishing its annual income report in 2016.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Most retirees have more income sources than surveys often capture. Transamerica&#8217;s data show 45% of retirees draw income from 401(k)s, <a href=\"https:\/\/www.investopedia.com\/terms\/1\/403bplan.asp\" data-ylk=\"slk:403(b)s;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;403(b)s&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"null\">403(b)s<\/a>, or <a href=\"https:\/\/www.investopedia.com\/terms\/i\/ira.asp\" data-ylk=\"slk:IRAs;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;IRAs&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"null\">IRAs<\/a>; 49% have other savings and investments; 40% still receive a <a href=\"https:\/\/www.investopedia.com\/articles\/personal-finance\/040116\/retirement-plans-pensions-vs-social-security.asp\" data-ylk=\"slk:pension;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;pension&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"recommendation-inline-link\">pension<\/a>; and 15% tap <a href=\"https:\/\/www.investopedia.com\/terms\/h\/home_equity.asp\" data-ylk=\"slk:home%20equity;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;home equity&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"null\">home equity<\/a>.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">When some of these sources go unreported, Social Security appears to make up a larger share of retirement income than it actually does.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The data also show major demographic differences. A 2025 Congressional Research Service analysis found reliance on Social Security roughly doubles between retirees ages 65 to 69 and those 80 and older. And in every age group, <a href=\"https:\/\/www.investopedia.com\/women-retirement-savings-gap-11696875\" data-ylk=\"slk:women%20rely%20more%20heavily;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;women rely more heavily&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\" class=\"null\">women rely more heavily<\/a> on Social Security than men do.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Read the original article on <a href=\"https:\/\/www.investopedia.com\/what-percentage-of-retirees-rely-on-social-security-for-almost-all-their-retirement-income-12033102\" data-ylk=\"slk:Investopedia;elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Investopedia&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Investopedia<\/a>  <\/p>\n","protected":false},"excerpt":{"rendered":"Tax records reveal a smaller Social Security reliance than many retirement surveys suggest.Credit: draganab \/ Getty Images Key&hellip;\n","protected":false},"author":2,"featured_media":642823,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[177],"tags":[79,39600,18,19,113419,17,15963,234,235,5229,1078,1069,25289,246698],"class_list":["post-642822","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-business","tag-census-bureau","tag-eire","tag-ie","tag-income-sources","tag-ireland","tag-older-americans","tag-personal-finance","tag-personalfinance","tag-retirement-income","tag-social-security","tag-social-security-administration","tag-source-of-income","tag-tax-records"],"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/642822","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=642822"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/642822\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/642823"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=642822"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=642822"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=642822"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}