June 06, 2022

Social Security Trustees Report Shows We Can Expand Social Security

The Trustees reports on the Social Security and Medicare Trust Funds were released on Thursday, showing once again that Social Security’s Old-Age and Survivors Insurance (OASI) Trust Fund is strong and solvent, with enough money to cover full benefits and expenses until 2034 — an improvement of one year later than reported last year.

The Medicare Part A Trust Fund for hospital care now has sufficient funds to cover its obligations until 2028, two years later than reported last year.

In response to the brighter outlook, the Alliance issued a statement saying it is time to strengthen both Social Security and Medicare for the future and expand benefits.

“Congress must act on two fronts to make that happen: lift the cap on earnings — currently $147,000 — subject to the 6.2% payroll tax, and lower prescription drug prices to stem their rapid growth,” said Richard Fiesta, Executive Director of the Alliance.

“An expansion of Social Security benefits is critical to help seniors fight inflation, and H.R. 5723, Rep. John Larson’s (CT) ‘Social Security 2100: A Sacred Trust,’ would make that increase a reality for all beneficiaries by requiring wealthy Americans to pay payroll taxes on wages above $400,000. Seniors need Congress to pass this critical legislation,” Fiesta added.

In addition, the Social Security Disability Insurance (DI) Trust Fund, which pays benefits to people with disabilities, is no longer projected to be depleted within the 75-year projection period, a significant improvement from last year.

Fiesta voiced his strong disapproval that despite these figures, Sen. Rick Scott (FL), who chairs the National Republican Senatorial Committee that recruits and supports Republican candidates for the U.S. Senate, has released a plan that would sunset all federal legislation, including Social Security and Medicare, after five years.

“No one should accept this lie, and we will not stand for any cuts to the benefits we have paid for,” Fiesta concluded.