Elon Musk stirred controversy on Monday by promoting debunked claims about Social Security and criticizing federal benefit programs as heavily fraudulent.
He suggested reducing these programs would be a key focus in his push to cut government spending.
Musk, who is advising President Donald Trump, estimated that $500 billion to $700 billion in waste should be eliminated. “Most of the federal spending is entitlements,” Musk said on Fox Business Network. “That’s the big one to eliminate.”
His remarks about Social Security and other federal benefits could create political tension on both sides of the aisle.
Musk’s aggressive cost-cutting approach has been criticized, especially following mass layoffs and program cuts.
Musk’s fraud estimate far exceeds official reports. Social Security’s inspector general previously reported $71.8 billion in improper payments between fiscal years 2015 and 2022 — less than 1% of total benefits paid during that period.
Musk also claimed that 20 million deceased individuals are still listed as alive in the Social Security database.
However, Lee Dudek, the acting commissioner of Social Security, rejected the idea that this means benefits are being wrongly paid out.
Musk has long been skeptical of Social Security, calling it “the biggest Ponzi scheme of all time.” While Trump has vowed to protect the program, his administration is closing some Social Security offices.
Musk also accused Democrats of using entitlement programs to attract illegal immigrants and convert them into voters — a statement linked to the controversial “great replacement” theory.
The interview was conducted at the White House by Larry Kudlow, a former Trump economic adviser.
Musk acknowledged the unusual nature of his role, saying, “Frankly, I can’t believe I’m here doing this. It’s kind of bizarre.”
Musk, the world’s richest person, continues to run his private businesses while helping Trump reshape the federal government.
He thanked Trump for his trust, saying, “Without the president’s support, we couldn’t make any progress here.”
Trump has publicly supported Musk but recently indicated that spending cuts would be more targeted, saying Musk’s team would use a “scalpel” rather than a “hatchet.”
Musk has kept a low public profile since joining the administration, primarily sharing 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 called Arizona Democratic Sen. Mark Kelly a traitor for visiting Ukraine.
Musk’s appearance with Kudlow was his third interview since joining Trump’s team. He previously spoke with Sean Hannity on Fox News and Joe Rogan, a podcaster who endorsed Trump.
Republicans have long supported cutting government spending, and many have praised Musk’s efforts. Rep. Richard Hudson of North Carolina said,
“The American people are sick of the swamp. They’re sick of waste, fraud, and abuse. For the first time, we finally have the tools to affect it.”
However, some Republicans have opposed certain budget cuts. Oklahoma Rep. Tom Cole announced that three federal offices in his state — including a Social Security office — would remain open. “I am thrilled to announce that common sense has prevailed,” Cole said.
Public opinion on Musk’s role remains divided. A mid-February CNN/SSRS poll found that about half of Americans view Musk’s influence on the Trump administration as negative, while a third see it positively.
Another poll by The Washington Post and Ipsos showed that Americans are split on whether Musk is cutting wasteful spending or essential programs, with about a third taking each side and another quarter undecided.
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