Posted on 06/20/2025 9:57:38 AM PDT by SeekAndFind
Medicare and Social Security funds are now expected to drain out earlier than previous estimates, according to two new reports released on Wednesday.
Social security is made up of two trust funds—old-age and survivors insurance (OASI) and disability insurance (DI). The two are combined for analyzing the overall status of social security funds, referred to as the Old-Age, Survivors, and Disability Insurance (OASDI) program.
The 2025 OASDI trustees report, published on June 18, said the total cost of the social security program started exceeding its total income in 2021. Currently, the fund is projected to be depleted by 2034, a year earlier than last year’s expected date of 2035.
Following depletion, OASDI will only be able to pay 81 percent of scheduled benefits to its recipients.
“The Trustees recommend that lawmakers address the projected trust fund shortfalls in a timely way in order to phase in necessary changes gradually and give workers and beneficiaries time to adjust,” the report said. “Implementing changes sooner rather than later would allow more generations to share in the needed revenue increases or reductions in scheduled benefits.”
At present, there are around 70 million social security beneficiaries in the United States. The program covers 185 million workers and their families.
The June 18 Medicare trustees report said the program’s Hospital Insurance (HI) trust fund is expected to be depleted by 2033, three years earlier than the previous projection.
HI, also known as Medicare Part A, helps pay for inpatient hospital services, hospice care, skilled nursing facilities, and home health services after hospital stays.
(Excerpt) Read more at theepochtimes.com ...
This is why you should have a 401K or IRA..............
How about we stop putting a quarter of our boys onto monthly SS payments? How is any supposed retirement system supposed to survive that?
How about we stop putting a quarter of our boys onto monthly SS payments? How is any supposed retirement system supposed to survive that?
Managing a file cabinet full of paper is very difficult work.
Lol.
I’m sure the GOPe will find a plan to extend retirement age to 85 or so.
You can read the Trustee’s 2025 Report here:
https://www.ssa.gov/oact/TR/2025/II_A_highlights.html#76460
According to the report:
HI’s income is projected to exceed expenses through 2027, following which it is expected to suffer deficits until the fund depletes in 2033.
The estimated depletion date was moved up “primarily due to the change in projected expenditures,” the report stated, adding that costs over the short term are “projected to be higher than last year’s estimates.”
HI is one of the two trust funds powering Medicare, the other being the Supplementary Medical Insurance (SMI) trust fund. According to current estimates, the SMI trust fund is expected to be “adequately financed over the next 10 years and beyond.”
Medicare covered 67.6 million Americans last year, of which 60.3 million were aged 65 and older, while 7.3 million were disabled.
They are always talking about SS and Medicare running out of money but never welfare and Medicaid.
How much was “depleted” by illegals and before Doge discovered 132 year olds on the benefit roll
This situation can be directly blamed on the Demoncrats and their GOPhen enablers who stole billions and billions of OUR money from those very trust funds. The End.
This.
they never talk about money goign to illegals running out either
Thankfully, I have both a pension and a 401(k) to help cushion any financial setbacks. Not everyone is that fortunate—many small, family-run businesses don’t offer retirement benefits. My sister-in-law, for instance, worked at a family-run business until she was 45 years old—about seven years ago—and managed to save only around $40,000 in her 401K, despite earning roughly $15 an hour. As manufacturing jobs have disappeared, so have many positions that offer 401(k) plans. And for low-income workers trying to support a family, even when a plan is available, contributing can be out of reach. Sadly, it’s these low-wage legal American earners who stand to suffer the most if Social Security benefits are cut.
The government has taken out SS “taxes” for 50 years from my paychecks….now as I near retirement they say the money isn’t there….disgusting, immoral, theft, no other words to describe it.
SS isn’t “ free” or a “ benefit”, we paid into it and worked for it.
It was meant to fall by design, better to scrap it now and transition to something else.
IMHO, all current recipients should be grandfathered, an then depending on close one is to retirement, tax credits for non taxable investments and health savings accounts should be given.
duh, this is why we need DOGE to cut spending!!!
“Medicare and Social Security funds are now expected to drain out....”
There has not been any dedicated Social Security funds for decades. The government has always just placed an IOU in place of the funds taken out and spent.
Social Security is depleted not because it was always a Ponzi scheme but because the money was spent by politicians.
I thought it was never supposed to be depleted.
They have been talking about this since the Reagan Administration, if not before. That should have allowed them plenty of time to fix it.
But, but we were PROMISED back in 1964 by the democrats...
https://www.ssa.gov/history/ssa/usa1964-2.html
Self-Supporting
“The program is designed so that contributions plus interest on the investments of the social security trust funds will be sufficient to meet all of the costs of benefits and administration, now and into the indefinite future—without any subsidy from the general funds of the Government. Both the Congress and the Executive Branch, regardless of political party in power, have scrupulously provided in advance for full financing of all liberalizations in the program.”
And where did the investments go? Read and weep.
https://www.ssa.gov/OACT/ProgData/fundFAQ.html#n4
This is why you should have a 401K or IRA.
————-
….and seeing how they lose 40 percent plus in downturns, market crashes, dollar devaluation, etc….1995, 2001, 2008, etc…what 60 year old has the time to wait for the recovery?
I was concerned when I sat down and crunched historic numbers….eg, say $1 million in a 401, well minus 20-26 percent in taxes when withdrawn, USD devaluation ( USD has dropped 8 percent this year alone) , then throw in inflation ( the USD purchasing power has dropped 24 percent since 2021….means you really only have about $570,000 in purchasing power, and that is decreasing every year.
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