Social Security and Medicare Finances Worsen; Likely Will Add To Nation’s Debt

The financial health of Social Security and Medicare, the government’s two biggest benefit programs, worsened in the past year because of the severe recession.

Trustees of the two programs said Tuesday that Social Security will start paying out more in benefits than it collects in taxes in 2016, one year sooner than projected last year, and the giant trust fund will be depleted by 2037, four years sooner.

Related:
Borrowing Needed For Social Security? We Weren’t Supposed To Ever Get There
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The trustees said Medicare was in even worse shape. They said that the trust fund for hospital expenses will pay out more in benefits than it collects this year and will be insolvent by 2017, two years earlier than the date projected in last year’s report.

The financial health of Social Security and Medicare, the government’s two biggest benefit programs, worsened in the past year because of the severe recession.

Trustees of the two programs said Tuesday that Social Security will start paying out more in benefits than it collects in taxes in 2016, one year sooner than projected last year, and the giant trust fund will be depleted by 2037, four years sooner.

The trustees said Medicare was in even worse shape. They said that the trust fund for hospital expenses will pay out more in benefits than it collects this year and will be insolvent by 2017, two years earlier than the date projected in last year’s report.

Read the rest from the Associated Press:
http://news.yahoo.com/s/ap/20090512/ap_on_bi_
ge/us_social_security;_ylt=AvqmzIuVOc
fCoMd_qqydNsOs0NUE;_ylu=X3oDMTJ
qcmQ3azJ1BGFzc2V0A2FwLzIwMDkwNT
EyL3VzX3NvY2lhbF9zZWN1cml0eQRjc
G9zAzMEcG9zAzkEc2VjA3luX3RvcF9z
dG9yeQRzbGsDc29jaWFsc2VjdXJp

http://www.butasforme.com/2009/0
5/12/medicare-social-security-too-big-to-fail/

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