WASHINGTON (AP) — Elon Musk promoted debunked theories about Social Security on Monday, describing federal benefit programs as rife with fraud, implying that they will be a primary target in his crusade to reduce government spending.
The billionaire entrepreneur, who advises President Donald Trump, suggested that $500 billion to $700 billion in waste should be reduced.
Musk told Fox Business Network that entitlements account for the majority of federal spending. “That’s the big one to eliminate.”
The comments about the popular program and other benefits provided to Americans could rile politicians on both sides of the aisle as Musk works to shrink the federal government, especially since he is already under fire for his chainsaw-wielding approach to laying off workers and slashing programs.
Musk’s estimate of entitlement fraud far exceeds figures from watchdogs such as Social Security’s inspector general, who previously reported $71.8 billion in improper payments from fiscal years 2015 to 2022. That represents less than 1% of all benefits paid out during that time period.
Musk also claimed that there were “20 million people who are definitely dead marked as alive in the Social Security database.” However, the agency’s leader has denied allegations of widespread payments to the dead.
“These individuals are not necessarily receiving benefits,” stated Lee Dudek, Social Security’s acting commissioner.
Musk’s interview with Fox Business highlighted his deep skepticism and even hostility toward the program, which provides monthly benefits to retirees and some children. Trump has promised to protect Social Security from cuts, but Musk has labeled it “the biggest Ponzi scheme of all time,” and the administration is closing some of the agency’s offices.
Musk stated on Monday that federal entitlement programs are “a mechanism by which the Democrats attract and retain illegal immigrants by essentially paying them to come here and then turning them into voters.” The allegation echoed the “great replacement” theory, which holds that politicians are attempting to increase their power by reshaping the country’s racial demographic.
Larry Kudlow, Trump’s first-term economic adviser, conducted the interview at the White House complex. Throughout the conversation, Musk appeared to acknowledge the unusual nature of his position in the administration.
“Frankly, I can’t believe I’m here doing this,” Musk told the audience. “It’s kind of bizarre.”
Musk is the world’s richest person, and he still runs his private businesses while advising the president on how to reform the federal government.
He also thanked Trump for his trust, saying, “Without the president’s support, we couldn’t make any progress here.”
Trump has publicly endorsed Musk and granted him extraordinary power over the federal government. However, the Republican president has signaled a shift in strategy, stating that Musk’s team will use a “scalpel” instead of a “hatchet.”
Musk has rarely spoken publicly since joining the administration, preferring to share his thoughts on his social media platform, X. On Monday, he accused Democrats of targeting Tesla dealerships; boasted about X being “the top source for news on Earth;” and accused Arizona Democratic Sen. Mark Kelly, a former fighter pilot and astronaut, of being a traitor for visiting Ukraine over the weekend.
Musk’s interview with Kudlow was his third since joining Trump’s administration, and he has remained within his ideological comfort zone. He previously interviewed the president and Fox News’ Sean Hannity, as well as Joe Rogan, a podcaster who endorsed Trump last year.
Republicans have spent decades trying to reduce the size and scope of the federal government, and many applaud Musk’s efforts.
“The American people are sick of the swamp.” “They’re tired of waste, fraud, and abuse,” said National Republican Congressional Committee Chairman Rep. Richard Hudson of North Carolina. “For the first time, we have the means to influence it. So I think the voters will reward us.
However, there is evidence of backlash and skepticism. Some Republicans have even boasted about blocking budget cuts.
Oklahoma Rep. Tom Cole announced that three federal offices in his state — the National Weather Center in Norman, the Social Security Administration Office in Lawton, and the Indian Health Services Office in Oklahoma City — would remain open.
“I am thrilled to announce that common sense has prevailed,” he told reporters. According to Cole, “all three of these places provide vital and valuable services to Oklahomans and I am so proud to have advocated for them.”
According to a CNN/SSRS poll conducted in mid-February, approximately half of Americans believe it is “a bad thing” that Trump has given Musk a prominent role in his administration. Only one-third saw it as “a good thing.”
Another mid-February survey by The Washington Post and Ipsos found that Americans were split on whether Musk is cutting wasteful spending or necessary programs, with roughly one-third falling into each camp. Another quarter indicated that they were unsure.