Reports released by the U.S. Treasury on Monday have shown that the trust funds supporting Social Security and Medicare benefits for U.S. seniors are in better shape due to stronger economic growth, productivity, and immigration that have increased revenue collections. The Medicare Hospital Insurance Trust Fund’s reserves are now expected to last until 2036, which is five years later than previously forecasted.
According to reports released by the U.S. Treasury on Monday, the trust funds supporting Social Security and Medicare benefits for U.S. seniors are in better shape due to stronger economic growth, productivity, and immigration that have increased revenue collections. The Medicare Hospital Insurance Trust Fund’s reserves are now expected to last until 2036, which is five years later than previously forecasted due to these factors.
The news highlights the importance of continued economic growth and revenue collection to sustain these vital programs for seniors and the disabled as reserves for the combined Social Security trust funds are now projected to last until 2035, one year later than last year’s report. Once depleted, the Old-Age and Survivors Insurance Trust Fund and the Disability Insurance Trust Fund will only be able to pay 83% of scheduled pension and disability benefits on a combined basis.
