Social Security & Medicare in worse shape than you think

Source: Investors Business Daily
by staff

“Even in normal years, the annual Social Security and Medicare trustees’ reports typically get overlooked. This year is far from normal. But the reports should be top of mind for anyone who cares about retirement security. The Social Security report finds that the ‘trust fund’ will run out of money in just 17 years. The news only gets worse from there. The program’s unfunded liability over the next 75 years is now $12.5 trillion, which is up from $11.4 trillion last year and $4.7 trillion a decade ago. In other words, Social Security’s long-term unfunded liability has increased by 166% in the span of 10 years. And on a cash flow basis, Social Security is now losing money every year. Last year it was $54 billion in the red. In a decade the annual shortfall will reach $215 billion — after adjusting for inflation.” (07/14/17)