SSI and SSDI Recipients: Are Payments by Check Ending?

Takeaways

• The Social Security Administration (SSA) initially announced a plan to end paper checks for benefits payments by September 30, 2025, requiring all recipients to switch to electronic payments.
• However, the SSA has since reversed this decision and will continue to issue paper checks to individuals who lack other means of receiving their benefits.
• The SSA encourages electronic payments for efficiency, fraud prevention, and cost reduction, offering direct deposit and a debit card (Direct Express®) as options for recipients.

The Social Security Administration (SSA) recently announced its plan to cease issuing paper checks for benefits payments as of this fall. The SSA indicated that it would require all recipients of Social Security, Supplemental Security Income (SSI), Social Security Disability Insurance (SSDI), and other federal benefits to switch to electronic payments prior to September 30, 2025. This change was described as part of the federal government’s ongoing efforts to improve efficiency, combat fraud, and reduce costs.

However, as of July 23, media outlets are now stating that the SSA has backtracked on this plan and will in fact continue to issue paper checks to individuals who have no other means for receiving their benefits payments.

Why Is the SSA Moving Away From Paper Checks?

SSA reports show that more than 500,000 people are currently receiving their benefits payments via paper check. This makes up less than 1 percent of benefits recipients and includes individuals who rely on SSI and SSDI. However, the federal government has highlighted several advantages to switching from paper checks to electronic payments. These include faster processing times for electronic funds transfers compared with traditional paper checks, reduced chances for lost or stolen payments, and savings for the federal government on printing and delivery costs.

Electronic Payment Options

For many people with disabilities, accessing their finances online is not the norm. According to the National Disability Institute, less than half of households with disabilities access their accounts online. Some may not have a bank account or experience with digital banking. In other cases, mobile banking applications can pose barriers for users with certain impairments.

If you are still receiving paper checks and would like to switch to electronic payments, the SSA offers two main options for receiving benefits via electronic payment:

• Direct Deposit to a Bank or Credit Union Account. Receiving payments via direct deposit is the simplest and most widely used option for those who have a bank account. Payments are deposited automatically into a checking or savings account. This ensures on-time payments, even following a natural disaster or mail service disruption.
  
  To set up direct deposit, you can visit the SSA website at www.ssa.gov/myaccount and log into or create a “my Social Security” account. You will then be able to set up or change your direct deposit information. You will need to provide your checking or savings account number and your bank’s routing number.
  
  You can also call the SSA’s toll-free number at 1-800-772-1213 (TTY 1-800-325-0778) to speak with a representative who can help you enroll in electronic payments or make an appointment to visit your local SSA office in person.
   
• Direct Express® Debit Card. For Social Security recipients who don’t have a bank account, the SSA offers a debit card called Direct Express®. The federal government makes the appropriate funds available on this card for the benefits recipient to use. The debit card option does not require a credit check.
  
  Visit the Direct Express® website for more information or call 1-800-333-1795.

Additional Resources

If you need help transitioning to electronic payments, contact the SSA, your local Area Agency on Aging, a community legal aid office, or a trusted elder law or financial professional.