The Social Security Administration has issued an alert reminding recipients of a major change that will impact payments as of September 30.
On September 30, the SSA will convert to all electronic payments, phasing out paper checks, as the agency looks to make payments faster and more secure.
Around 70 million people earn Social Security payments each month, including millions of retired workers, Americans with disabilities, and survivors of deceased workers.
The Trump administration has implemented various changes to the SSA, including cutting approximately 7,000 positions within the agency and closing some physical offices.
Retirees and all other Social Security beneficiaries must switch to electronic payment options by September 30. After this date, all funds will be deposited into recipients' bank accounts or loaded onto a prepaid debit card to eliminate mail delays and reduce the need for extra trips to the bank.
"The Social Security Administration is continuing their modernization efforts, and paper checks are the next target," Drew Powers, the founder of Illinois-based Powers Financial Group, told Newsweek. "A senior citizen's mailbox is a prime entry point for theft and fraud. Moving away from paper checks to a more direct, more secure, electronic payment is another step in minimizing financial elder abuse."
Seniors can enroll in direct deposit through their personal "my Social Security" account, and Supplemental Security Income recipients and international beneficiaries can call 1-800-772-1213 for help. If you prefer to enroll in the Direct Express Card, you can do so by calling 1-800-333-1795 or visiting www.usdirectexpress.com.
President Donald Trump originally signed an executive order in March to "modernize payments" for Social Security benefits.
While the majority of Social Security beneficiaries already receive digital payments, around 0.8 percent of recipients still receive paper checks. That means more than 500,000 beneficiaries will need to update their payment method.
The SSA previously stated that the shift is underway as paper checks are more expensive, costing the U.S. government around $0.50 to issue, whereas an electronic fund transfer (EFT) costs less than $0.15.
The SSA said the switch is likely to reduce payment costs by more than $2 million annually.
A Social Security spokesperson previously told Newsweek: "In March 2025, President Trump issued Executive Order 14247, which mandates the transition to electronic payments for all Federal disbursements by September 30, 2025. Less than one percent of Social Security Administration beneficiaries currently receive paper checks. SSA is proactively contacting those beneficiaries to alert them about the change and the process to enroll in direct deposit or receive Direct Express cards."
Powers Financial Group founder Drew Powers told Newsweek: "As with any new system, there will be a steep learning curve, so seniors and their caretakers must be extra vigilant in their efforts to avoid phishing scams by ensuring they are logging onto the correct websites and payment systems. For those who cannot access electronic payments, there is a limited waiver that will continue paper checks."
Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek: "The change to how payments are issued on September 30 may seem small, but it represents one of the most significant shifts in benefits distribution in the program's history. While many beneficiaries have opted for direct deposit for years now due to its ease, there are still a small number who receive their checks physically."
Seniors and all other Social Security beneficiaries must take action now to make their electronic payment changes by September 30.
"The vast majority of recipients have switched to direct deposit for receiving their funds already, and even those who opt to not do so will still have the option of receiving a physical debit-like card with their monthly payment on it moving forward," Beene said.
"This should be more efficient in delivering funds to recipients, while also cutting down on fraud, which usually is easier to accomplish with paper checks than other payment means."