WASHINGTON — On Monday, Elon Musk promoted discredited claims about Social Security and labeled federal benefit programs as hotbeds of fraud, hinting that they would be a key focus in his efforts to curb government spending.
The billionaire, advising President Donald Trump, suggested that the government needed to cut between $500 billion and $700 billion in wasteful spending.
“Most of the federal spending is entitlements,” Musk stated on Fox Business Network. “That’s the big one to eliminate.”
These remarks about Social Security and other benefits for Americans could cause concern among politicians from both parties, especially given the negative reaction Musk is already receiving for his aggressive approach to layoffs and program cuts.
Musk’s fraud estimates for entitlements significantly exceed those of watchdogs, such as Social Security’s inspector general, who reported $71.8 billion in improper payments between fiscal years 2015 and 2022. This figure represents less than 1% of all benefits paid during that period.
Musk also claimed that the Social Security database includes “20 million people who are definitely dead marked as alive.” However, the head of the agency has refuted these claims of widespread payments to deceased individuals.
“These individuals are not necessarily receiving benefits,” stated Lee Dudek, Social Security’s acting commissioner.
The Fox Business interview highlighted Musk’s strong skepticism and even opposition to Social Security, which provides monthly benefits to retirees and some children. While Trump has pledged to protect Social Security from cuts, Musk has called 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 entitlements 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.” This statement echoed the “great replacement” theory, which alleges that politicians are attempting to expand their power by altering the country’s racial demographics.
The interview took place within the White House complex and was conducted by Larry Kudlow, a former economic advisor to Trump. During the conversation, Musk seemed aware of the unusual nature of his position within the Administration.
“Frankly, I can’t believe I’m here doing this,” Musk admitted. “It’s kind of bizarre.”
Musk, the world’s wealthiest individual, continues to manage his private companies while advising the President on federal government reform.
He also thanked Trump for his confidence, stating, “Without the President’s support, we couldn’t make any progress here.”
Trump has publicly supported Musk, granting him significant influence over the federal government. However, the Republican President has suggested a change in tactics, saying that Musk’s team would use a “scalpel” instead of a “hatchet.”
Since joining the administration, Musk has mostly communicated through his social media platform, X. On Monday, he accused Democrats of attacking Tesla dealerships; boasted about X being “the top source for news on Earth;” and accused Arizona Democratic Sen. Mark Kelly of being a traitor for visiting Ukraine over the weekend.
Musk’s discussion with Kudlow marked his third interview since joining Trump’s Administration, and he has consistently stayed within his ideological comfort zone. His previous interviews include a joint appearance with the President and Sean Hannity of Fox News, as well as a conversation with Joe Rogan, a podcaster who endorsed Trump last year.
Republicans have long sought to reduce the size and scope of the federal government, and many have welcomed Musk’s involvement.
“The American people are sick of the swamp. They’re sick of waste, fraud and abuse,” said Rep. Richard Hudson of North Carolina. “For the first time ever, we finally have the tools to affect it. So I think the voters are going to reward us.”
However, there are indications of pushback and skepticism. Some Republicans have even publicly celebrated blocking budget cuts.
Oklahoma Rep. Tom Cole issued a statement confirming 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 said. Cole added that “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 mid-February CNN/SSRS poll, about half of Americans believe it’s “a bad thing” that Trump has given Musk a prominent role in his Administration. Only a third viewed it as “a good thing.”
Another mid-February survey by The Washington Post and Ipsos revealed that Americans were split on whether Musk is primarily cutting wasteful spending or necessary programs, with roughly a third falling into each category. Another quarter of respondents said they were unsure.
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