Economics Professor Debunks Musk’s Claims About Immigrants and Social Security

Economics Professor Refutes Musk’s Claims on Immigration and Social Security

Elon Musk’s recent assertions regarding immigrants and Social Security entitlement programs have been systematically challenged by economic experts. Geoffrey Sanzenbacher, an economics professor and research fellow at Boston College’s Center for Retirement Research, has provided a factual analysis that contradicts Musk’s claims about immigration’s impact on Social Security and other benefits programs.

The Claims Under Scrutiny

During a March interview with Fox Business Network, Musk claimed that eliminating waste and fraud in entitlement spending could save approximately $600-700 billion annually. Additionally, he alleged that Democrats intentionally attract unauthorized immigrants with financial incentives from programs like Social Security, ultimately aiming to convert them into voters.

Sanzenbacher addressed these claims without directly naming Musk, instead referring to him as a “prominent car manufacturer and space enthusiast.” His response was based on empirical research rather than political rhetoric about Social Security eligibility and benefits.

Evidence-Based Analysis of Social Security Facts

The economics professor established two critical points in his rebuttal:

• Unauthorized immigrants are legally ineligible for Medicare and Social Security benefits
• Research indicates minimal evidence of fraud in these entitlement systems
• Many unauthorized immigrants contribute to Social Security through payroll taxes without ever receiving benefits
• These contributions actually strengthen Social Security financially rather than drain resources

Second, Sanzenbacher examined the potential impact of increased authorized immigration on Social Security and Medicare. The data contradicts popular misconceptions about immigrants draining resources from these vital programs.

Immigrants as Contributors to Social Security Programs

Consistent research demonstrates that immigrants generally contribute more to Social Security and other entitlement programs than they receive. Their positive impact includes:

• Paying payroll taxes that directly fund Social Security
• Having children who become system participants and contributors
• Typically incurring lower healthcare costs than U.S.-born citizens
• Strengthening the long-term financial outlook of Social Security through their contributions

While Sanzenbacher acknowledged that unrestricted immigration could potentially impact wages and labor markets, he firmly rejected the notion that immigrants come to the United States to exploit Social Security and other entitlement programs. “If anything, these programs take advantage of them,” he stated, characterizing Musk’s claims as “complete fiction.”

Broader Context of Fiscal Responsibility

This controversy follows previous statements by Musk regarding government spending on Social Security. In February 2025, he questioned Social Security data accuracy and has consistently criticized what he perceives as inefficiencies in federal expenditures related to entitlement programs.

Musk has suggested that the Treasury’s payment system results in over $2 trillion in annual waste—assertions about Social Security and benefits that have been met with skepticism from numerous experts.

This debate illuminates the complex relationship between immigration policy, Social Security, and fiscal responsibility—subjects that remain contentious in public discourse, even when empirical evidence contradicts prominent narratives about how immigrants impact Social Security benefits and eligibility.