---
title: "Sen. Ron Wyden Warns Of Backdoor Social Security Privatization: 'It's Clear Trump Was Lying All Along'"
description: "Sen. Ron Wyden warns of potential privatization of Social Security through the Trump Accounts, a new savings program for children linked to the One Big Beautiful Bill Act. Treasury Secretary Scott Bes"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/252343346.md"
published_at: "2025-08-09T19:01:49.000Z"
---

# Sen. Ron Wyden Warns Of Backdoor Social Security Privatization: 'It's Clear Trump Was Lying All Along'

> Sen. Ron Wyden warns of potential privatization of Social Security through the Trump Accounts, a new savings program for children linked to the One Big Beautiful Bill Act. Treasury Secretary Scott Bessent's comments have reignited concerns over privatization, which would shift responsibility for retirement savings to individuals. Despite Bessent's clarification that the administration aims to protect Social Security, Wyden and other Democrats accuse Trump of misleading the public. The future of Social Security remains uncertain, with the trust fund projected to face shortfalls by 2034.

As debate over the future of Social Security heats up once again, Sen. **Ron Wyden** (D-OR) is sounding the alarm over what many see as a renewed effort to privatize the program — this time, through a provision in the recently passed One Big Beautiful Bill Act.

The controversy began last week after Treasury Secretary **Scott Bessent** referred to the Trump administration's new so-called Trump Accounts — a new savings program for children — as a "back door for privatizing Social Security."

**Don't Miss:**

-   **The same firms that backed Uber, Venmo and eBay are investing in this pre-IPO company disrupting a $1.8T market — **and you can too at just $2.90/share.****
-   **Accredited Investors: Grab Pre-IPO Shares of the AI Company Powering Hasbro, Sephora & MGM—**Secure $0.63 Shares Before 8/14****

**Today's Best Finance Deals**

## A Return to an Old Fight

Bessent's remarks have reopened a long-standing and politically sensitive issue. Proposals to privatize Social Security — which would shift the system from a government-run program to one based on personal savings accounts — have surfaced in the past, most notably under President **George W. Bush**. But those ideas have largely been set aside after public pushback.

Millions of Americans rely on Social Security as a guaranteed source of income in retirement. Under privatization, individuals would be responsible for managing their own retirement savings, potentially exposing them to market risks and uncertainty.

## Trump Accounts Draw Scrutiny

The program at the center of the latest debate is the Trump Account, a new savings vehicle created under the One Big Beautiful Bill Act. The account is designed to be opened for any baby born in the U.S., with a potential $1,000 initial deposit from the Treasury. Like an IRA, it allows for post-tax contributions — up to $5,000 a year — and could grow over time.

"In a way, it is a back door for privatizing Social Security," Bessent said, speaking at a Breitbart News forum, about the Trump Accounts. This has sparked widespread concern that they are intended as a long-term replacement — not a supplement — to Social Security.

**Trending: ‘Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. You can **invest today for just $0.30/share.****

Later that day, Bessent clarified his comments, saying the administration was committed to protecting Social Security. "This is not an either-or question," he wrote in a post on X. "Our administration is committed to protecting Social Security and to making sure seniors have more money."

## Wyden, Democrats React Swiftly

Despite the clarification, Wyden and other top Democrats were quick to push back. "It's clear Trump was lying all along about protecting Social Security," Wyden said in a statement, accusing the president of paving the way for Wall Street interests to profit at the expense of retirees.

Senate Minority Leader **Chuck Schumer** (D-NY) called Bessent's remarks "a stunning admission," saying they revealed the administration's true intentions.

The Democratic National Committee echoed that view. Spokesperson **Tim Hogan** accused the Trump administration of scheming to dismantle the program through what he called a "backdoor scam."

## Social Security's Future Remains Uncertain

The backdrop to this renewed debate is Social Security's long-term financial outlook. According to the program's trustees, the trust fund that pays benefits will no longer be able to cover full payments starting in 2034 unless changes are made.

Trump, for his part, has repeatedly promised to protect Social Security. On the 2024 campaign trail, and after winning re-election, he said the program would remain untouched, other than possible efforts to make it more efficient.

Still, for critics like Wyden, recent developments suggest a different story. "Calling this a five-alarm fire is an understatement," Wyden said.

With millions of Americans counting on Social Security to fund their retirement, the debate over its future — and who's telling the truth about it — is far from over.

***Image: Shutterstock***

## Related News & Research

| Title | Description | URL |
|-------|-------------|-----|
| Fake Milano Cortina sites target thousands with discount scams, cybersecurity firm says | Cybersecurity firm Bitdefender has reported a surge in online scams targeting shoppers with fake Milano Cortina 2026 mer | [Link](https://longbridge.com/en/news/276149499.md) |
| Blackstone-backed Liftoff Mobile files to withdraw US listing | Feb 17 (Reuters) - Blackstone-backed (BX.N) Liftoff Mobile has filed to withdraw its initial public offering plans in th | [Link](https://longbridge.com/en/news/276118530.md) |
| Will China Literature Turn The Page? | China Literature Ltd. expects a net loss of up to 850 million yuan for last year, primarily due to a 1.8 billion yuan go | [Link](https://longbridge.com/en/news/276113491.md) |
| Mubadala Investment Co Pjsc Dissolves Share Stake in Salesforce, Verizon; Cuts in Disney | Mubadala Investment Co PJSC has significantly reduced its shareholding in Disney by 48.7%, now holding 35,984 shares. Th | [Link](https://longbridge.com/en/news/276145715.md) |
| Mubadala Investment Co Pjsc Reports Share Stake In Pfizer, Abbvie, Dissolves in Merck, Dell | Mubadala Investment Co PJSC has reported its shareholdings as of December 31, 2025. The company holds 444,978 shares in  | [Link](https://longbridge.com/en/news/276145564.md) |

---

> **Disclaimer**: This article is for reference only and does not constitute any investment advice.
