Medicare, Social Security could fall short over next decade
An annual report on Social Security and Medicare says the financial safety nets millions of older Americans rely on and millions more young people are counting on will run short on funds to pay full benefits within the next decade
WASHINGTON (AP) — The financial safety nets millions of older Americans rely on — and millions more young people are counting on — will run short of money to pay full benefits within the next decade, the annual Social Security and Medicare trustees report released Friday warns.
Medicare, the government-sponsored health insurance that covers 65 million older and disabled people, will be unable to pay full benefits for inpatient hospital visits and nursing home stays by 2031, the report forecast. And just two years later, Social Security won't have enough cash on hand to pay out full benefits to its 66 million retirees.
The report is another prod for politicians to address the fragile financial state of the social programs, which are only expected to get more expensive in the coming years as more Americans age into eligibility for them.
“The Trustees continue to recommend that Congress address the projected trust fund shortfalls in a timely fashion to phase in necessary changes gradually,” said Kilolo Kijakazi, acting commissioner of Social Security.
