Social Security Retirement Trust Fund Solvent Until 2032, Trustees Report

Social Security's retirement trust fund is now projected to face a shortfall in 2032, one year earlier than the 2033 date estimated in last year's report. Medicare's hospital insurance trust fund is still expected to be unable to pay full benefits beginning in 2033, unchanged from the prior projection.

Rising healthcare costs and government spending have contributed to the earlier depletion date for the retirement fund. The trustees' report states that the programs face a partial funding gap rather than a complete collapse.

Even after the retirement trust fund is depleted, the system will continue to issue benefits, though at reduced levels. Incoming revenue after 2032 is expected to cover about 83 percent of scheduled benefits for combined old-age and disability programs beginning in 2034.

Medicare's hospital insurance trust fund depletion date was previously moved from 2036 to 2033 in last year's report. The eligibility age for full Social Security benefits remains 67, while Medicare eligibility stays at 65.

Bisignano said the Trump administration is committed to protecting and strengthening Social Security and eliminating waste, fraud, abuse and ensuring program integrity. The trustees, who include the treasury secretary, labor secretary, health and human services secretary and Social Security commissioner, said the findings show the urgency of needed changes.

Minter-Jordan said the latest numbers should be a wake-up call and that Congress needs to act.

“Americans have worked hard and paid into Social Security their entire lives, and they deserve to count on it when they retire. Social Security benefits were last reformed roughly 40 years ago when the eligibility age was raised from 65 to 67.”