September 1, 2021
Medicare and Social Security Trustees Reports: What You Need to Know
AAF experts analyze the highlights of the Medicare and Social Security Trustees Reports that were released today. According to the reports, Medicare will go bankrupt in 2026 — the same as last year’s projections, and the Social Security Trust Funds will go bankrupt in 2034, one year earlier than before.
Other statistics include:
- Medicare’s Annual Cash Shortfall in 2020 was $495.5 billion;
- Payroll taxes would have to increase more than 32 percent to pay for Medicare Part A in 2020; and
- Over the next 75 years, Social Security will owe $19.8 trillion more than it is projected to take in.