When Will Social Security Go Bankrupt?

The Social Security Administration trustees issued a 2024 report that said that in 2033, they estimate Social Security will only be able to pay out 79% of benefits.

This surprised me as I was expecting the latest report to estimate funds running out sooner than 2033. The 2033 expected shortfall date is the same as last year’s report but a little rosier as the 2023 report only forecasted 76% of benefits being paid.

It’s unknown what will happen if Social Security runs out of funds. Will they reduce benefits by 21% for everyone or perhaps reduce benefits differently based on benefit levels?