Ted Cruz Lays Out Plan to Privatize Social Security via Trump Accounts

Addressing the Milken Institute Global Conference, Cruz suggested that the government will soon offer parents a choice: keep a portion of their tax payments to fund their own Trump Accounts rather than sending those funds to the Social Security system. He predicted that this model would build a powerful constituency within five years, effectively bypassing traditional federal retirement structures.

Critics argue this move is part of a broader, two-pronged strategy to dismantle public retirement benefits. Linda Benesch of Social Security Works noted that while the accounts serve as an investment vehicle for children, they simultaneously function as a mechanism to gut the Social Security Administration. By underfunding the agency, proponents hope to manufacture a crisis that justifies shifting assets to Wall Street. Treasury Secretary Scott Bessent previously echoed this sentiment, calling the accounts a potential backdoor for privatization. Despite these efforts, polling remains unfavorable; a 2022 survey indicated that only 15% of voters support privatizing the program, leaving advocates like Max Richtman to warn that the public will reject the risk posed to their earned benefits.