Social Security Administration Mandates Electronic Payments by Year End

The Social Security Administration is phasing out paper checks and plans to complete the transition to electronic payments for all beneficiaries by the end of 2026. This transition follows federal law and Executive Order 14247, which took effect on September 30, 2025, mandating electronic federal benefit payments with limited exceptions.

Beneficiaries can switch to direct deposit through their banks or online accounts, or use the Direct Express program to receive funds via a prepaid debit card. The agency warned that it will not use phone calls or text messages to notify users of these system changes. Individuals in extremely rare circumstances who cannot switch to electronic payments must contact the United States Department of the Treasury directly to request a waiver.

In current operations, the agency issued the final wave of September payments on September 23 for beneficiaries born between the 21st and the end of their birth month. Supplemental Security Income payments for October are scheduled for October 1.

Looking ahead, the agency will announce the 2027 cost-of-living adjustment in October. The final calculation depends on September inflation data, which the Bureau of Labor Statistics is scheduled to release on October 14.