Social Security to tap reserves to cover 2018 benefits

Report: Medicare trust funds will be insolvent starting 2026

The main trust fund behind Medicare, the USA health-care program for the elderly and disabled, will be exhausted in 2026, three years earlier than was projected a year ago, the government said Tuesday. That is three years earlier than projected last year, Marketwatch noted.

The Social Security program's costs are expected to exceed its income this year, marking the first time that has happened since 1982 and forcing the USA government to dip into the retirement system's trust fund to pay benefits to participants.

That's what the Social Security and Medicare trustees projected in their 2018 annual report released Tuesday. Continuing payroll tax revenues to the combined trust funds would be sufficient to cover 79 percent of scheduled benefits starting in 2034. Asset reserves as of 2017 were $2.9 trillion.

In reality, it has been running annual deficits since 2010, and the insolvency date has moved up eight years.As the Social Security crisis keeps getting closer, the political parties are moving further away from doing anything about it.What's scary is that Social Security is relatively easy to fix when compared to Medicare, a program where the rising retirement population is interacting with growing healthcare costs. But when interest income is excluded from the equation, program costs exceed income throughout the 75-year projection period.

Each year, the trustees project the long-term finances of Medicare, which covers about 58 million Americans. Some 45 million retirees and six million dependents receive Social Security benefits.

A separate projection released on Tuesday showed it will become insolvent in 2034 - the same estimate as past year.

"The programs remain secure", he said, adding: "The administration's economic agenda - tax cuts, regulatory reform, and improved trade agreements - will generate the long-term growth needed to help secure these programs and lead them to a more stable path". Some combination of revenue increases and benefit changes could also eliminate the projected shortfall. Taken separately, the fund for retirees is now expected to be depleted in 2034, a year earlier than last year's report, while the disability insurance reserves run out in 2032, four years later than projected last year. The program's cost will rise more rapidly through 2039 as the baby-boom generation retires faster than the number of covered workers increases, according to the report.

Related News:

  • Beyoncé And Jay-Z Show Off Twins Rumi And Sir During 'On The Run II' Tour

    The tour will hit cities all over the world. making stops throughout Europe before coming to the United States in July . Representatives for Beyoncé and Jay-Z did not immediately respond to HuffPost's request for comment.
    China rebukes Taiwan president for Tiananmen comments

    China rebukes Taiwan president for Tiananmen comments

    The largest, held in Hong Kong on Monday night, reportedly attracted more than 110,000 people. It is not mentioned in Chinese state media, and it is not taught in schools.
    What a play! Fan grabs foul ball in cup, chugs the beer

    What a play! Fan grabs foul ball in cup, chugs the beer

    Somehow, someway, the ball fell right into DiMarco's full cup of beer - with little splash. Videos of her baseball chug went viral, with thousands retweeting Petco Park's tweet.
  • Key Senate Republicans seek to challenge Trump over tariffs

    Key Senate Republicans seek to challenge Trump over tariffs

    The Republicans are afraid that if Trump eventually does a self-pardoning act, it would lead to a massive political crisis. They want to lift recent steel and aluminum tariffs as well as those being proposed on goods from China.

    You can now buy Amazon's Alexa-powered fashion camera Echo Look

    The Echo Look can suggest items that pair well with clothes that you own from Amazon's extensive collection of items for sale. Early past year , Amazon announced the Echo Look, a device aimed to help people improve their fashion sense.
    Trump declares that Melania 'is doing really well!'

    Trump declares that Melania 'is doing really well!'

    US President Donald Trump has lashed out at media reports about Melania Trump's rare public appearances. Trump walking with aides at the White House. [White House] (and me) for New York or Virginia, to abuse.
  • Microsoft just sunk a data center into the sea

    Microsoft just sunk a data center into the sea

    An undersea fibre-optic cable brings power to the data centre and transfers data to the shore and web users. The first phase saw the company sink a prototype in the Pacific off the coast of California in August 2015.

    ESPN Caves in TV Scheduling Battle After Yankees Threatened 'All-Out War'

    But playing three games in about 26 hours, with a flight mixed in, is a pretty extreme ask for any baseball team. Both MLB and players union officials had been working behind the scenes to remedy the situation.

    Jeep Renegade revealed with a more mature, aggressive look

    The facelifted Jeep Renegade does look distinct compared to the previous model as it gets a host of cosmetic additions. Jeep has officially unveiled the images of the facelifted Jeep Renegade that is expected to be launched in India.
  • Bill Clinton Gets a 'Do-Over' on 'Late Show'

    Bill Clinton Gets a 'Do-Over' on 'Late Show'

    Co-host Whoopi Goldberg jumped into the conversation with her opinion on who suffered the most from the Lewinsky scandal. Noting that he is a "very close" friend of the Clintons, McAuliffe said it was a "terrible time for the country".

    Trump Asks Trudeau: ‘Didn’t You Guys Burn Down the White House?’

    According to the sources, Trudeau pressed Trump on how he could justify the tariffs as a "national security" issue. So far, Trump has not tweeted about CNN's report on his 1812 comment being "fake news" but stay tuned.
    Philly woman arrested on Wildwood beach speaks out

    Philly woman arrested on Wildwood beach speaks out

    The video shows an officer punching a 20-year-old Philadelphia woman in the head during the altercation. She said her neck and back have been hurting since the incident, and she has headaches.


Most liked

Apple introduces macOS Mojave with Dark Mode, desktop Stacks and more
You can keep your desktop clean with the new stacking feature which will automatically stack the content depending on the type. The Mac App Store is exactly what it sounds like: a one-stop shop where Mac users can find and purchase Mac-specific software.

Mnuchin urged Trump to exempt Canada from steel and aluminum tariffs
Trump suggested last week that NAFTA could be replaced with two separate trade accords , one with Mexico and another with Canada. It's unclear whether Trump was joking or falsely believed Canada was responsible for burning down the official home of the U.S.

Jennifer Lawrence's New Boyfriend Sounds Fake, Is Real
The two reportedly met through Lawrence's best friend, Laura Simpson , according to Page Six , which was first to break the news. Earlier this month, Lawrence presented Aronofsky with an award at the 2018 BAM Gala, where she called him a "very good friend".

Arizona man kills six people in 96-hour murder spree
Investigators established that Dwight Jones, 56, had a link to his victims as a result of divorce proceedings nearly a decade ago. Pitt, who testified that Jones had anxiety and mood disorders and symptoms of a paranoid personality, was killed Thursday.

Singapore's foreign minister to visit North Korea ahead of Trump-Kim summit
Mr Giuliani said: "Kim Jong Un got back on his hands and knees and begged for it, which is exactly the position you want to put him in".

U.S. names Stewart as national team manager after World Cup flop
Arena was hired and led the U.S.to the 2002 quarterfinals, the best result for the Americans since the first World Cup in 1930. Stewart, 49, played more than 100 games for the United States and appeared in three World Cups. "It's process over speed".

Reasons Why Renewed for Season 3 on Netflix
Brian Yorkey is set to return as showrunner, with production resuming in the coming months. According to said video, 13 Reasons Why season 3 will be released on Netflix in 2019.

Billy Joe Saunders pulls out of Martin Murray clash with hamstring injury
The fight has been cancelled and the prospect of rescheduling seems highly uncertain at the moment, much to Murray's frustration. " Apologies for any inconvenience, but due to the injury, I had to withdraw from the fight on June 23 ", Saunders said.

Dell's Inspiron Gaming Desktop gets renovated with all AMD hardware inside
Two months ago, Dell introduced a trio of gaming laptops in place of its former Inspiron Gaming brand, the G3, G5, and G7 . A new Alienware Wireless Gaming Headset will be headed for a launch at E3, with Dell expanding its peripheral offerings.

Italy Politics: Italy PM calls European Union immigration policy a failure
The Kremlin has always been accused of boosting nationalist right-wing forces in France, Germany, Italy and the Netherlands.

Keys, Stephens and Putintseva break new ground at Roland Garros
No. 7 Dominic Thiem of Austria - a semifinalist at Roland Garros the past two years - faces No. 19 Kei Nishikori of Japan. The straightforward victory for 2016 French Open champion Djokovic was his 200th career tour-level win on clay.

Thousands flee as Guatemala’s Volcano of Fire erupts again
Warnings have also been issued to civil aviation, as the ash cloud continues to rise posing a hazard to air travel. On June 3, the volcano spewed black smoke, ash and an 8-km stream of red hot lava in its second eruption of 2018.

Max Scherzer pitches immaculate inning vs. Rays
They're all Hall of Famers and will most assuredly be joined by Scherzer when his career is done. All nine were strikes, resulting in three strikeouts and an uber-rare "immaculate inning".

Liverpool interested in acquiring Stoke City's Xherdan Shaqiri
Shaqiri is now on worldwide duty with Switzerland and is due to travel to Russian Federation for the World Cup with his national team.

'Stay put' policy failed victims of Grenfell Tower blaze, says expert
The Grenfell Tower inquiry has been shown "truly shocking" footage of the fire taking hold of the building. A 72nd victim injured in the blaze died in January.