Federal Spending On Medicare, Social Security Will Outstrip Revenues: CBO
The Congressional Budget Office has new estimates about federal spending on Social Security and Medicare over the next decade, warning it may rise faster than revenues and the whole economy. Funds for Social Security would hit a shortfall in 2032 — a year earlier than expected.
The Hill:
CBO Warns Of Sharp Uptick In Social Security, Medicare Spending
Federal spending on Social Security and Medicare is projected to rise dramatically over the next decade, far outpacing revenues and the economy on the whole while putting new pressure on Congress to address accelerated threats of insolvency, according to new estimates from the Congressional Budget Office (CBO). The increase is driven by a variety of factors, including Social Security’s new cost-of-living adjustment, the rising cost of medical services under Medicare and greater participation rates in both programs, as the last of the baby boomers become eligible for retirement benefits. (Lillis, 2/15)
The Hill:
Social Security Set To Run Short Of Funds One Year Earlier Than Expected
Social Security funds are set to start running a shortfall in 2032, one year earlier than previously expected, the director of the Congressional Budget Office (CBO) said on Tuesday. “The Social Security solvency date — the exhaustion date for the trust fund — is now within the budget window,” CBO Director Phillip Swagel said, referring to the 10-year period covered by the agency’s annual report. (Shapero, 2/15)
Axios:
Medicare Politics Are On A Crash Course With Reality
There's an inconvenient truth underneath the politics of Medicare — its finances are simply unsustainable. Medicare is one of the largest line items in the U.S. budget, and as the population ages, it's expected to only get more expensive. (Owens, 2/16)
More on Medicare —
Axios:
Insurers Balk At Proposed Changes To MA Marketing Rules
Medicare Advantage and Medicare drug plans told the Centers for Medicaid and Medicare Services that too much regulation at once could drive up costs and result in increased premiums or fewer benefits. Public comment closed this week on on a proposal to crack down on Medicare Advantage marketing practices, impose other standards on Medicare drug plans and create requirements to increase access to behavioral health and culturally competent care. (Dreher and Goldman, 2/16)
Axios:
Health Industry Could Be Playing Defense On Medicare
After years of trying to squash the expansion of government-funded health care and preserve business from private payers, the health care industry is suddenly facing new threats to the revenue it receives from the Medicare. (Owens, 2/16)
