The fund is now projected to be able to make full payments until 2028, two years later than estimated in last year’s report. The trust fund is financed through payroll taxes. The improved outlook was attributed in part to faster recovery in employment, earning and economic growth than previously projected.
The trust fund is projected to run deficits every year starting in 2023 until it runs out of money in 2028, according to the report. If the trust fund is depleted, the program would be able to pay for 90 percent of expected costs in 2028, according to the Washington Post.
Kaiser Family Foundation Senior Vice President Tricia Neuman told the Post that the additional two years buys policymakers more time to come up with solutions but confirms the need for action to keep the trust fund on solid financial footing.
Read the full report here.
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