Starting September 30, 2025, nearly all Social Security payments will be issued electronically, as the U.S. government phases out most paper checks. The change affects those still receiving benefits by paper method, who must transition to alternative payment systems.
Less than 1% of current Social Security recipients still use paper checks. The Social Security Administration is alerting those beneficiaries and encouraging them to enroll in direct deposit or use a prepaid debit option known as the Direct Express card.
What Recipients Need to Do
Beneficiaries who currently receive checks must act before the end of the month to avoid disruptions. Most can update payment preferences via their existing Social Security account portal. Those without a bank account can opt for the Direct Express prepaid card alternative.
The SSA also allows exemptions in limited circumstances, such as when banking access is unavailable or due to severe hardship. In those cases, paper checks may still be issued, but only under strict criteria.
Impacts, Risks and Rationale
The move is part of a broader effort to modernize government payments, reduce administrative costs, and minimize risks associated with mailing checks – including theft, loss, or delay. Electronic payments are faster and more efficient to process.
Still, the transition carries potential pitfalls. Some vulnerable beneficiaries- particularly older adults, rural residents, and people without banking history- may struggle with the shift. If they miss the window to enroll, they risk late or missed payments.
Advocacy groups have pushed for thorough outreach and support during the changeover to ensure no one loses access to essential benefits. The SSA says it is proactively contacting paper check recipients via mail and notices enclosed with benefit payments.
As more federal disbursements shift to digital, the phase-out of paper checks could mark a significant shift in how the U.S. delivers public benefits.
