Social Security plans to complete its full transition to electronic payments for all beneficiaries this year, following an executive order signed by President Trump that took effect on September 30, 2025. The Social Security Administration announced the shift in a June 2 blog post, urging the remaining Americans still receiving paper checks to switch to direct deposit or prepaid debit cards as soon as possible.
Quick Facts
- Paper checks are 16 times more likely to be lost, stolen, altered, or returned undeliverable than electronic payments.
- The average cost to print one paper check is $3.07, approximately 20 times more expensive than electronic payments.
- Less than 7% of Americans remain on paper checks; the majority already receive benefits electronically.
- Limited exceptions are available for beneficiaries facing hardship or living in remote areas without banking access.
Executive Order 14247, titled “Modernizing Payments To and From America’s Bank Account,” mandated that the Treasury Department stop issuing paper checks for all federal payments, including Social Security benefits, tax refunds, and other government disbursements. The transition began last fall but is now entering its final phase.
Beneficiaries can switch to direct deposit by creating or signing into their personal mySocial Security account and adding their bank account information. Those without a traditional bank account can enroll in the Direct Express program to receive payments on a prepaid debit card by visiting GoDirect.gov or calling 1-800-967-6857.
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The Social Security Administration says it recognizes that some beneficiaries may struggle with the transition due to mental health concerns, lack of access to financial institutions, or other challenges. These individuals can request a waiver through the U.S. Treasury. While paper checks remain available as a last resort, they are now subject to significant manual review and processing delays.
According to the SSA, the shift to electronic payments will improve efficiency, reduce federal costs, and enhance security in benefit distribution. The agency emphasized its commitment to making the transition “as seamless as possible for all beneficiaries including seniors, individuals with disabilities, and those without traditional banking access.”
Sources
- Social Security Administration — official blog post announcing the full transition to electronic payments in 2026, details on benefits and switching methods.
- The Sun — confirmation of the transition timeline, Executive Order 14247 details, and cost figures.
