Social Security 'doesn't allow most Americans to build wealth,' BlackRock's Larry Fink says

More than 70 million Americans — including retirees, disabled individuals and families — rely on Social Security benefits for monthly income. It's "one of the most effective poverty-prevention programs in history," BlackRock CEO Larry Fink wrote in his annual chairman's letter to investors, released Monday. Social Security keeps an estimated 29 million Americans out of poverty each year, Fink wrote, citing Census data. Even with that "extraordinary achievement," the 90-year old program could be improved, according to Fink. "The issue is: Social Security provides stability, but it doesn't allow most Americans to build wealth in a way that grows with their country," Fink wrote. Fink has called for investing on behalf of Social Security As a pay-as-you-go program, Social Security is largely funded by payroll taxes . Both employers and employees contribute 6.2% toward the program, while self-employed individuals pay 12.4% on earnings up to $184,500 in 2026. Money not immediately used to pay benefits is deposited into Social Security's trust funds, which are invested in U.S. Treasury bonds. The combined retirement and disability trust funds earned a 2.6% annual effective interest rate in 2025, according to Social Security Administration data. Meanwhile, the stock market saw substantial gains last year, with the S&P 500 up about 16% . A 60/40 portfolio of stocks and bonds was up nearly 15% for 2025, based on the performance of the Morningstar US Moderate Target Allocation Index. Read more CNBC personal finance coverage BlackRock CEO Fink: Trump accounts may be 'significant' wealth-building tool The uneven cost of tariffs: Why some households will pay more than others When it comes to private credit, 'some caution is reasonable,' advisor says 'War tax resistance' gains attention amid Iran conflict, but IRS penalties apply Average IRS tax refund is up 10.8%, new filing data shows Your tax refund could be smaller than expected this season. Here's why What may happen to Socia...