Social Security is the U.S. government program that provides financial benefits to retirees, disabled individuals, and survivors of deceased workers. The program is primarily funded through payroll taxes collected from workers and employers. Medicare and Medicaid are also publicly funded programs designed to help ensure that this population also has access to health insurance.
Recently, the trustees that run these programs released some good news. There’s been a lot of speculation about the programs and their long term success–but the trustees now project that there’s enough money in the funds to sustain through the end of 2035 for Social Security and 2036 for Medicare. This is one and five years longer than previous estimates had stated, respectively.
They warned that major fixes are needed in order for these programs to be viable moving into the future.
Social Security and Medicare are designed to help seniors cover their cost of living as they age.
People worry about Social Security and other public benefits disappearing due to concerns over its financial sustainability and the growing senior population that it’s supposed to support. The system is strained by demographic shifts, fewer workers paying into the system, and longer life expectancy. Political uncertainty over potential reforms, such as raising taxes, reducing benefits, or increasing the retirement age, adds to this concern. While the program isn’t likely to disappear entirely, benefit reductions are a possibility without intervention.
It’s not likely to impact seniors in the next ten years or so, but there is a chance that it might impact seniors in the future. Planning ahead can be helpful for many. Starting saving early, ensuring that insurance policies are in place to help offset the cost of care, and being aware of what kind of assistance is likely to be needed as you or loved ones age can help to ensure that you are as prepared as possible.
Senior care and medical care tend to be some of the biggest financial stressors for people as they age. They can be expensive. Worrying about income can exacerbate this worry. Paying for senior care can be an overwhelmingly huge prospect, but you don’t have to navigate it on your own. There are plenty of trustworthy care professionals out there that would be happy to help you to navigate the system.
We’re one of those resources. If you have questions about paying for care–or anything else having to do with senior care and how it might benefit your family–please feel free to reach out to us. We offer a free consultation session that is designed to answer all of your questions; even questions about how to afford care. It’s free and there will be zero pressure when it comes to making a decision on your end. Our goal is to connect you to the facts and how they might pertain to your family’s unique situation, then give you the tools to enable you to make smart care decisions on your own terms.
If you have questions or want to talk more, please feel free to reach out to us. Our care team would be happy to talk more.
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