June 1, 2013
Every year we find out the long-term insolvency projection from the Medicare Trustees, and every year we hear calls from Republicans for major changes and cuts to Medicare in response. So this week we find out that the insolvency projection has been expanded by 2 years to 2026. That’s 13 years until insolvency. That sounds bad right? Well it’s not. The historic average Medicare insolvency projection since 1980 is over 12 years. It’s been as low as 4 years and as high as 28 years during that span. So with the latest report from the Medicare Trustees, we find out the sky is not falling because the program’s insolvency projection is sitting right at it’s 30-year average.