Many are sounding the alarms over Elon Musk's recent access to the U.S. Department of Treaury's payment system, which is responsible for handling over $6 trillion in annual federal payments. A large concern is surrounding Musk's access to millions of American's data and payments that directly affect their well-being, like Social Security, Medicare, and other government benefits.
While the Treasury Department insists that no payments have been delayed or altered, advocacy groups and lawmakers are warning of potential risks.
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Why Changed and Why It Matters
The recently created Department of Government Efficiency (DOGE), which Musk is leading, was recently granted access to the Treasury Department's payment infrastructure as part of its efforts to minimize waste in government spending. Allowing the access has sparked outroar from lawmakers, advocacy groups, and citizens across the country, with many questioning the legality of such a move and how it could impact critical federal benefits for Americans.
According to a letter sent by the Treasury Department to Congress, DOGE now has "read-only" access, meaning Musk's team shouldn't be able to directly modify or stop payments. However, the concern remains on what his level of access could mean in the long run.
The president and CEO of the National Committee to Preserve Social Security and Medicare, Max Richtman, shared his strong opposition to Musk's access to the payment system. "Social Security beneficiaries and their families have every reason to be alarmed by Elon Musk's takeover of the U.S. Department of Treasury's payment system…Seniors, their families, and people with disabilities most certainly cannot trust Trump and Musk with their crucial federal benefits — or their personal data," he said on the organization's website.
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Lawmakers Raise Red Flags
Democratic lawmakers have expressed serious concern about DOGE's authority. U.S. Sen Elizabeth Warren of Massachuseetts took to X to raise her concerns about the move, calling it "extraordinarily dangerous." She noted that millions of Americans depend on uninterrupted payments from the government for their financial well-being.
Lindsay Owens, executive director of Groundwork Collaborative, spoke with CNBC and described the takeover as a "five-alarm fire," stating that as a private citizen with no official government role, Musk was given access to this sensitive system.
The White House has said Musk is a special government employee.
Complicating the issue further, CNN reported that Musk's associates at DOGE have attempted to influence federal payments. The network obtained emails showing top DOGE officials attempting to block U.S. Agency for International Development spending, just days after President Donald Trump's inauguration last month. This leaves government officials and citizens alike questioning whether similar moves may occur with Social Security and other domestic programs.
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The Treasury Department's Response
Despite the concerns, the Treasury Department issued a letter to Congress stating that Social Security and Medicare payments have been processed as usual. A White House official stated that DOGE is only looking to restructure the payment system according to the President's goals and executive order, which currently don't include any disruption to Social Security.
However, federal worker buyouts under the Trump administration could indirectly impact Social Security, according to U.S. Sen. Kirsten Gillibrand (D-NY). "Trump's buyout offer would have devastating consequences for the tens of millions of Americans who rely on Social Security," she said.
The administration has offered early retirement incentives to federal employees, leading to concerns that staff shortages could slow down Social Security claims processing. The agency already faces long wait times, with average phone support delays reaching 45 minutes and disability benefit determinations taking up to 230 days.
What This Means for Social Security Recipients
For now, Social Security beneficiaries continue to receive their payments as scheduled. But watchdog organizations and lawmakers will be closely monitoring DOGE's role in federal payment processing. Advocacy groups have called for legal action to prevent any potential interference with Social Security benefits, and pending lawsuits may determine the future scope of DOGE's authority over federal funds.
While no immediate disruptions have been reported, the uncertainty surrounding Musk's access to Treasury operations leaves many retirees and beneficiaries on edge. As discussions continue in Washington, Social Security recipients are advised to stay informed and reach out to their representatives to voice their concerns.
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