June 3, 2022
Medicare Trustees push Hospital Insurance Trust Fund insolvency date to 2028
On June 2, the Biden Administration released the 2022 annual Social Security and Medicare Trustees report. The latest report projects the Medicare Hospital Insurance (HI) Trust Fund, which funds Medicare Part A benefits, will be unable to pay full benefits in 2028, two years later than the last year's projection that insolvency would occur in 2026.
Secretary of the Treasury Janet Yellen said, "This latest report shows an improvement in the financial position of Social Security and Medicare, reflecting the strong economic recovery and growth in the last year." Health and Human Services Secretary Xavier Becerra said, "It is critical that we continue to protect this vital program that serves millions of seniors and individuals with disabilities. The Biden-Harris Administration will continue to strengthen Medicare and ensure it remains strong for current and future beneficiaries." Similarly, CMS Administrator Chiquita Brooks-LaSure said, "Medicare trust fund solvency is an incredibly important, longstanding issue and we are committed to working with Congress to continue building a vibrant, equitable, and sustainable Medicare program."
However, Energy and Commerce Committee Republican Leader Cathy McMorris Rodgers (R-WA) and Health Subcommittee Republican Leader Brett Guthrie (R-KY) in a statement said the Biden administration's "irresponsible" agenda "will make this urgent insolvency crisis even worse."
Click here for the full Medicare Trustees Report and here for a fact sheet of the report.
Additional information is also available in the attached Tax Alert.
Social Security and Medicare Trustees report