New report shows improvement in U.S. trust funds supporting Social Security and Medicare benefits for seniors. Stronger-than-expected economic growth, productivity, and immigration are boosting revenue collections. The Medicare Hospital Insurance Trust Fund’s reserves are now projected to be depleted in 2036, five years later than previously expected. This program provides healthcare to seniors and some disabled individuals and would be able to pay only 89% of scheduled benefits after that date. Reserves for the combined Social Security trust funds are now expected to be depleted in 2035, one year later than previously reported. The Old-Age and Survivors Insurance Trust Fund as well as the Disability Insurance Trust Fund would then only be able to pay 83% of scheduled pension and disability benefits on a combined basis. Despite these challenges, this improvement in the trust funds’ outlook is positive news for U.S. seniors who rely on these benefits for their financial security. The reports reflect the impact of economic factors on the financial health of these important programs, but also highlight opportunities for growth and innovation in areas such as healthcare and technology that could help support these programs long-term.
Seniors’ Financial Security Secured: New Report Shows Improvement in U.S. Trust Funds for Social Security and Medicare Benefits
