The Social Security Administration (SSA) has announced approximately $800 million in savings through recent cost-cutting measures. This development is part of broader efforts by the Trump administration to increase efficiency across federal agencies.
The savings align with President Donald J. Trump’s executive order establishing the Department of Government Efficiency (DOGE), which aims to enhance government operations through cutting waste and technology and software modernization.
In a March 3 press release, the SSA detailed its “cost-saving and cost-avoidance” strategies. Key savings were realized through payroll reductions following a hiring freeze and overtime cuts, particularly impacting SSA and Disability Determination Services. These changes accounted for $550 million in savings.
The Information Technology Systems budget saw a $150 million reduction from contract cancellations. Additional savings were achieved by decreasing non-Information Technology Systems travel expenses by $10 million and terminating contracts and grants, yielding another $30 million in savings.
Real estate adjustments also contributed to cost reductions. By eliminating 270,000 square feet of non-public-facing office space, the SSA saved $10.2 million, with plans to downsize an additional 30,000 square feet. Multiple lease terminations further saved $4 million annually. Furthermore, adopting a new security staffing model for field offices is forecasted to save $30 million in the 2025 fiscal year.
So far, under the first month of President Trump’s administration, DOGE has saved American taxpayers billions of dollars.