The Social Security Administration (SSA) has announced that starting September 30, 2025, it will no longer issue paper checks for monthly benefits. Payments will instead be delivered electronically through direct deposit to a bank account or to a Direct Express prepaid debit card.
For most people, this change will not matter, as nearly all recipients already receive electronic payments. But for the small number who still rely on paper checks, action is needed before the deadline to avoid any disruption.
The move is designed to make the system more secure, faster, and more efficient. Electronic payments are far less likely to be lost or stolen, and funds arrive more reliably than through the mail. The change also saves the government significant money. A paper check costs about 50 cents to process. An electronic transfer costs less than 15 cents, adding up to millions in savings each year.
Paper checks will still be allowed in limited cases, such as for those age 90 or older, individuals with certain medical conditions, or people living in remote areas. These exceptions must be requested directly through the U.S. Treasury. If you or a family member currently receives paper checks, now is the time to switch to direct deposit or the Direct Express card.
Disclosure
This material is provided by Gryphon Financial Partners, LLC (“Gryphon”) for informational purposes only. It is not intended to serve as a substitute for personalized investment advice or as a recommendation or solicitation of any particular security, strategy or investment product. Facts presented have been obtained from sources believed to be reliable. Gryphon, however, cannot guarantee the accuracy or completeness of such information. Gryphon does not provide tax, accounting or legal advice, and nothing contained in these materials should be taken as tax, accounting or legal advice. Individuals should seek such advice based on their own particular circumstances from a qualified tax, accounting or legal advisor.