Social Security and Medicare Face Potential Benefit Cuts by 2033
Congress urged to act swiftly as key trust funds near depletion, risking significant reductions in payouts.
Overview
- Social Security's Old-Age and Survivors Insurance trust fund may deplete by 2033, reducing benefits by 21%.
- Combined with Disability Insurance, the depletion date extends to 2035, still resulting in reduced benefits.
- Medicare's Health Insurance trust fund could face depletion by 2036, affecting hospital care coverage.
- Chief actuaries emphasize the need for early congressional reforms to minimize impact on beneficiaries.
- A proposed bipartisan fiscal commission aims to address these financial challenges before automatic cuts occur.