Social Security may have to cut retirement benefits in six years. Here's how much money is at stake for beneficiaries

The latest projections from the Social Security Trustees' Report indicate that the program may have to cut retirement benefits in six years if Congress doesn't take action to prevent it. This is a pressing concern for the millions of Americans who rely on Social Security as a primary source of income in retirement. According to the report, the trust fund that finances Social Security benefits is expected to be depleted by 2035, at which point the program will only have enough funds to pay out about 83% of promised benefits.

This potential shortfall is a significant issue for beneficiaries who are counting on Social Security to make ends meet in retirement. If benefits are cut, it could have a substantial impact on their standard of living. For example, a retiree who is currently receiving $1,500 per month in Social Security benefits could see their payments reduced to around $1,245 per month. This represents a significant reduction in income, which could be difficult for many retirees to absorb.

Looking ahead, Congress will need to take action to address the looming shortfall in the Social Security trust fund. There are several potential solutions that have been proposed, including increasing the payroll tax rate, raising the retirement age, or means-testing benefits. Whatever the solution, it's clear that policymakers will need to act quickly to prevent a significant reduction in benefits for millions of Americans. To watch next: Congressional hearings and debates on potential solutions to the Social Security shortfall, as well as any proposed legislation aimed at addressing the issue.

Originally reported by cnbc.com. FundingWire adds analysis for finance & markets readers.