Retiring Louisiana Sen. Bill Cassidy, who lost his May primary reelection bid, believes he knows how to fix Social Security.
Speaking with CNBC this week, he proposed a “big idea” for fixing Social Security that eschews raising taxes or cutting benefits.
The longer Congress does nothing, the larger the tax increase workers will face and the deeper the benefit reductions retirees will endure.
I have a plan to save Social Security. Congress cannot wait any longer. Let’s get it done.https://t.co/nwDEWnduzu
— U.S. Senator Bill Cassidy, M.D. (@SenBillCassidy) June 23, 2026
The “big idea” calls for the federal government to set aside $1.5 trillion in an investment fund separate from Social Security’s trust funds.
Cassidy suspects that if the $1.5 trillion is invested properly, it would grow to match 60 to 65 percent of Social Security’s unfunded accrued liability within 65 to 70 years, according to CNBC.
But where exactly would the $1.5 trillion come from? It’d be borrowed, though there’s evidently a catch: It allegedly wouldn’t increase the debt because it’d be held in an escrow account, according to Cassidy.
The senator’s inspiration is former President George. W. Bush and the changes he made to the federal Railroad Retirement system. Under Bush, the pension funds were allowed to be invested in private securities, which in turn drastically improved the program’s solvency.
President Donald Trump has yet to acknowledge or endorse Cassidy’s idea.
“President Trump and I are not BFFs,” the senator said.
Indeed, last month the president called him a “disloyal disaster.”
Trump: Senator Bill Cassidy of Louisiana is a disloyal disaster. His entire past campaign for the Senate was about “TRUMP” how he’s with me all the way, and then, after winning, he turned around and voted to IMPEACH me for something that has now proven to be total “bullshit!”…… pic.twitter.com/YdHNhLbVqY
— Republicans against Trump (@RpsAgainstTrump) May 16, 2026
Cassidy has been a frequent critic of the president’s war in Iran:
Reagan is rolling over in his grave. Iran’s nuclear ambitions were not curbed, and they have learned that threatening the Strait of Hormuz works and will undoubtedly leverage it in the future. Now, Iran gets to build brand-new infrastructure under this deal.
Before the war, the…
— U.S. Senator Bill Cassidy, M.D. (@SenBillCassidy) June 17, 2026
Plus, there are some valid concerns about Cassidy’s proposal.
One, it is “unlikely to work,” according to the Center for Retirement Research at Boston College, because it would leave the federal government indebted in the 75th year, thus requiring large interest payments. The only catch is it could work if paired with tax hikes or benefit cuts — which would defeat the purpose.
The Bipartisan Policy Center has similarly warned that the bond market would react to a “significant increase in borrowing,” given that the debt is already on an “unsustainable trajectory.”
Cassidy’s CNBC interview comes about two weeks after he and several other senators — including Democrats Dick Durbin and Tom Kaine — released a joint statement calling for immediate action on Social Security.
“It’s clear now that Congress shouldn’t delay any longer,” the statement read. “Several of us have been coming together to talk about how we can strengthen Social Security for current and future generations of retirees.”
“We say to our colleagues: join us in doing what we were elected to do—legislate on hard issues and protect this lifeline program for our kids and grandkids. Congress has no shortage of ideas; we just need to actually debate them and vote,” the statement continued.
The statement was reportedly released after House Speaker Mike Johnson made remarks on the “Moon Griffon Show” radio program, announcing that he doesn’t intend to address the Social Security crisis until next year.
“The reason we are in trouble is because over 74 percent of federal spending is on autopilot, mandatory spending,” Johnson said. “That’s your entitlement programs like Medicare, Medicaid, and then things like Social Security. They have to be adjusted and fixed. We have a plan to do that next year.”
Mike Johnson says Republicans want to cut Medicare, Medicaid, and Social Security, calling them “entitlements” and saying they need to be “fixed” pic.twitter.com/e1rqmtacB8
— Headquarters (@HQNewsNow) June 8, 2026
The delayed schedule didn’t sit well with everybody.
“Congress needs to get their act together to address Social Security and the insolvency that’s coming, instead of poking blame at other people whenever it is our duty and our responsibility,” House Ways and Means Committee Chairman Jason Smith reportedly said.
Meanwhile, Cassidy has penned a letter to the editor at the Wall Street Journal warning that the longer Congress waits to address Social Security, the larger the tax increases and tax cuts will be.
Writers and editors can be contacted at [email protected] with feedback, tips, or corrections.
V. Saxena is a staff writer with a decade of experience as a professional writer, and a lifetime of experience as an avid news junkie. He holds a degree in computer technology from Purdue University. Saxena also contributes to BizPac Review.
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