Modern Estate Planning Blog

Editor's Note: Reports state that on July 23, 2025, the Social Security Administration decided to continue issuing paper checks for those who do not have any other way of receiving their benefits payments.

Takeaways

• The Social Security Administration is phasing out paper checks for benefits payments, requiring most recipients to switch to electronic payments by September 30, 2025.
• This transition aims to enhance efficiency, security, and cost savings, with options for electronic payments including direct deposit and the Direct Express® debit card.

At Chubb Law Firm PC, we believe staying informed is one of the most powerful ways to protect yourself and your loved ones. If you or someone you care about relies on Social Security benefits, a big change is coming that could impact how payments are received. Here’s what you need to know—and how to prepare.

Starting September 30, 2025, the Social Security Administration (SSA) will stop issuing paper checks for benefits payments. The SSA is urging all recipients of Social Security, Supplemental Security Income (SSI), and other government benefits to switch to electronic payments before the deadline. This change is part of the federal government’s ongoing effort to improve efficiency, reduce costs, and combat fraud.

Beneficiaries who do not switch to electronic payments by the September 30 deadline and who do not qualify for a paper check exemption may experience delays or interruptions in their benefits payments.

Why the SSA Is Ending Paper Checks

Switching from paper checks to electronic payments offers some notable advantages, including:

• Speed and Efficiency: Electronic Funds Transfers (EFTs) are processed faster than paper checks, which means beneficiaries receive their payments on time.
• Enhanced Security: Paper checks are 16 times more likely to be lost or stolen compared with electronic payments, increasing the risk of theft and fraud.
• Cost Savings: According to the U.S. Department of the Treasury, issuing a paper check costs about 50 cents, whereas an EFT costs less than 15 cents. Switching from paper checks to EFTs could save the federal government millions of dollars each year.

Who Will Be Affected?

According to SSA data, over half a million people still receive their benefits payments by paper check, which is less than 1 percent of beneficiaries. These individuals must switch to electronic payments by the September 30 deadline unless they qualify for a waiver from the Treasury Department. To get such a waiver, benefits recipients need to contact the Treasury Department.

Electronic Payment Options

The SSA offers two main options for receiving benefits electronically:

Direct Deposit to a Bank or Credit Union Account

Direct deposit is the simplest and most widely used option. Payments are deposited automatically into a checking or savings account. This ensures timely payment, even following a natural disaster or mail service disruption.

To set up direct deposit, you will need to provide information regarding your financial institution and the account to which you want your payments sent, including your account number and your bank’s routing number.

Direct Express® Debit Card

For recipients who don’t have a bank account, the SSA offers a government-prepaid debit card called Direct Express®. The federal government makes the appropriate funds available on this card for the beneficiary to use like any other debit card. The debit card option does not require a credit check. To learn more about the Direct Express® debit card, visit the Direct Express® website.

How to Switch to Electronic Payments

Anyone still receiving paper checks should act as soon as possible to avoid missing payments after the September 30 cutoff. Here are three ways to switch:

• Online: Visit the SSA website at www.ssa.gov/myaccount and log into or create a “my Social Security” account. From there, you can set up or change direct deposit information.
• By Phone: 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.
• In Person: Visit your local SSA office. You may need to make an appointment, and be sure to bring identification.

Additional Resources

Paper checks for Social Security and other federal benefits will largely be phased out by the end of September 2025. Recipients should make arrangements now to receive payments electronically through direct deposit or the Direct Express® debit card. Making the switch will ensure uninterrupted access to vital benefits and help protect against fraud and payment delays.

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

For additional reading about Social Security benefits, check out the following articles:

• Report: Americans Overwhelmingly Support Social Security
• Are Social Security Benefits Taxed?
• What Raising the Social Security Retirement Age Would Mean
• How to Report Income for SSI Benefits

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