Will a Government Shutdown Keep You From Getting Your Benefits?
As lawmakers continue to butt heads in Washington, there have been many rumors of an impending shutdown. For some people, a government shutdown will just mean more political drama and fewer new laws. However, for others, a government shutdown can be drastically life-altering. If you rely on the government for Social Security or Veterans Affairs (VA) benefits, a shutdown can definitely be problematic. Keep reading to see whether you'll lose benefits during a shutdown.
Is a Shutdown Happening?
A government shutdown can happen whenever federal legislation fails to come to an agreement on budgets. Each year, Congress is supposed to meet to plan and approve a budget for operating all government agencies. However, if lawmakers are unable to agree on an appropriate level of funding for each agency, a shutdown occurs. Past shutdowns have lasted over a month and led to lengthy delays in government services.
Right now, there are some major disagreements surrounding federal funds. The current budget expires on September 30, and so far, Congress has been unable to finalize a new budget. Disagreements on things like how much money to spend aiding Ukraine and how much to spend on border control have led to a political stalemate. It's possible a last-minute agreement could happen, but many legal experts believe a shutdown is imminent.
A Shutdown Won't Halt Most of Your Benefits
If you use government benefits for things like healthcare and housing, a shutdown can sound terrifying. Fortunately, most benefits are not included in shutdowns. Unlike other government programs, benefits are not up for debate each year. Instead, they are permanently funded, so they can continue to help citizens during a shutdown. It is impossible for the shutdown to halt payments for all standard benefits.
If you use Medicare, Medicaid, or Social Security, you'll continue to get the same payments. Since these funds are covered by tax payments and previous agreements, a shutdown will not halt your benefits. If you are a veteran who uses VA benefits, your benefits also come from a separate round of funding. Things like VA pensions, housing, and burial services will all remain available to U.S. veterans and qualifying beneficiaries. Many VA-operated organizations, such as all Health Administration facilities, also have advanced funding that will keep them running throughout a shutdown.
Furthermore, a shutdown will not affect the way that you receive your benefits. Most Americans get their benefits through the United States Postal Service, and they remain operational during shutdowns. The Postal Service is self-funded through things like stamp purchases, so they can keep delivering mail regardless of what happens to federal funding.
A Shutdown May Make It Harder to Manage Your Benefits
Even though a shutdown cannot technically halt your benefits, it can still lead to quite a few problems. Most of the departments that manage your benefits won't be operating during a shutdown. This won't affect the routine process of sending out benefits, but it will cause problems for people who are having issues receiving their benefits.
One big problem is that the Social Security Office will not have employees to issue new Social Security cards which can make it hard to sign up for certain benefits. Furthermore, customer service departments like the VA hotlines will not function. People may struggle to get in contact with a government employee who can sort out issues like a stolen Social Security check or an unapproved Medicare procedure. Basically, at any point where you aren't getting the proper benefits and would need to contact a government office for help, you'll find that a shutdown has made them unavailable. During the last shutdown, many people reported delays that made it hard for them to get appropriate food, housing, or healthcare.
What You Can Do to Prepare for a Shutdown
Ultimately, if you're using government benefits, it's important to be prepared. Take a close look at all of your benefits and make sure things are in order now. If you've procrastinated on little details like updating your address or changing your pension beneficiaries, now is the time to do so. By being proactive and taking care of all your paperwork now, you can ensure that the shutdown won't cause delays.