Yes, the Trump administration mandated that the federal government phase out paper checks for most payments and collections by September 30, 2025. Executive Order 14247, signed on March 25, 2025, requires federal agencies, including the IRS, to transition to electronic methods, impacting benefits, tax refunds, and vendor payments.
On September 30, 2025, the U.S. Treasury discontinued federally issued paper checks and is moving to digital payments. Federal benefit recipients who still get paper checks WILL NOT be automatically switched to a debit card or direct deposit.
WASHINGTON – The U.S. Department of the Treasury announced that the federal government will stop issuing paper checks for most federal payments on September 30, 2025. If you are one of the few people who still receives a federal benefit check, it's time to switch to an electronic payment method.
Starting September 30, 2025, the federal government will stop issuing paper checks for most federal payments. That means if you're still receiving federal check payments, it's time to switch to an electronic payment method.
As of Sept. 30, 2025, the government has mandated that all federal benefit payments, including Social Security, Supplemental Security Income (SSI), and Veterans Affairs (VA) benefits transition exclusively to electronic methods. Paper checks have been phased out for nearly all federal payments.
The COLA was 2.5 percent in 2025. Nearly 71 million Social Security beneficiaries will see a 2.8 percent COLA beginning in January 2026. Increased payments to nearly 7.5 million people receiving SSI will begin on December 31, 2025. (Note: Some people receive both Social Security benefits and SSI).
Starting September 30, 2025, the Social Security Administration (SSA) will no longer issue paper checks for benefit payments. This change is part of a broader government-wide initiative to modernize payment systems and enhance service delivery.
New Continuous Clearing (2025–26)
Phase 1 (October 4, 2025 – January 2, 2026): Banks accept cheques from 10 a.m. to 4 p.m. on working days. Upon deposit, cheques are instantly scanned and sent to the clearing house. The drawee bank must confirm clearance or rejection by 7 p.m. the same day.
Emma Reynolds, the economic secretary to the Treasury stated that “we have no plans to regulate businesses – big or small – to compel them to take cash” adding later that the UK was “not anywhere near” going cashless.
Executive Order (EO) 14247 “Modernizing Payments To and From America's Bank Account” transitions federal payments to electronic methods. Starting September 30, 2025, most federal payments that are currently made by paper check—including Social Security benefits and tax refunds—will be made electronically.
However, there is no evidence that any of the presidents has stolen a dime from Social Security. Usually, payroll taxes paid by workers are deposited in the trust funds, and the surplus funds are invested in special-issue securities that are backed by the full faith and credit of the US government.
Yes, the Social Security Administration (SSA) will stop issuing paper checks for most benefit payments after September 30, 2025, as part of a government-wide mandate to transition to electronic payments by that date.
If the individual tax cuts expire, taxpayers in all income groups would face higher and more complicated taxes. Machinery and equipment expensing is a key provision that, if allowed to expire, would especially harm capital-intensive industries like manufacturing.
Effective September 30, in accordance with Executive Order 14247, Modernizing Payments To and From America's Bank Account, federal benefit payments will primarily be issued electronically, with paper checks being phased out in most cases.
The government has confirmed that no further Cost of Living Payments are planned for 2025. This means there will not be a new payment (such as the rumoured £450 payment) this year.
Sweden has officially become the first country in the world to go completely cashless. Almost every shop, café, and public transport system in Sweden now accepts only digital payments like cards or mobile apps. The popular app “Swish,” launched in 2012, is used by millions of Swedes to send and receive money instantly.
It is not illegal to keep cash at home in the UK, but it should be stored securely to mitigate risks. The amount of cash to have on hand varies, but a small amount for emergencies is recommended while keeping most in a secure bank account.
Introduced in House (02/07/2025) This bill requires retail businesses to accept cash as a form of payment for on-site sales of $500 or less and it prohibits them from charging cash-paying customers a higher price compared to customers not paying with cash.
While a government shutdown can create frustration and financial uncertainty, one thing you don't have to worry about is your bank. Your money remains secure, your accounts remain accessible, and your financial tools — from mobile banking to automatic bill pay — will continue working as usual.
Are cheques being phased out? No. The Payments Council announced on 12 July 2011 that cheques will continue for as long as customers need them. A previously announced target for closing the cheque clearing system by 2018 has been cancelled.
Banking Laws (Amendment) Act, 2025
Federal Payments Are Going Digital in 2025: Key Highlights
The order specifies that effective Sept. 30, 2025, the Treasury and IRS shall cease issuing paper checks for all federal disbursements. This includes tax refunds. Additionally, all payments made to the Federal Government should be processed electronically.
The dollar amount increase to checks will vary depending on a person's benefit amount, but the average Social Security Retirement benefit, $2,008.31 in July 2025, will grow by about $56.
Yes, you can get Social Security benefits even if you never worked, primarily through Spousal/Divorcee benefits, Survivor benefits, or the needs-based Supplemental Security Income (SSI) program, none of which require a work history, though standard retirement/disability (SSDI) does. You can get up to 50% of a working spouse's benefit (spousal), or potentially 100% as a widow/widower (survivor). SSI provides aid for aged, blind, or disabled people with limited income/resources, regardless of work.