Panel: Social Security funds gone in 2041

April 24, 2007

The six-member Washington panel that oversees Medicare and Social Security spending says Medicare will become insolvent by 2019.

The panel also said Social Security will begin paying out more than it collects by 2017 and will be fully depleted by 2041, The Washington Post reported Tuesday.

"Without change, rising costs will drive government spending to unprecedented levels, consume nearly all projected federal revenues, and threaten America's future prosperity," said Treasury Secretary and panel member Henry Paulson.

Social Security expenditures are expected to reach $594 billion this year, while Medicare is poised to spend $438 billion, the report said.

The 2017 and 2019 "trouble" dates are both a year later than the panel's earlier estimates.

The dwindling resources are forecast on an estimated 78 million baby boomers who will be retiring in the next several years, the Post said.

The panel's report said if the government wants to keep both programs viable its only options are reducing benefits, raising taxes or both.

Copyright 2007 by United Press International

Explore further: In reversal, SXSW festival plans online harassment event

Related Stories

In reversal, SXSW festival plans online harassment event

October 31, 2015

The SXSW Interactive technology festival said Friday that it will hold an "online harassment summit" after it was criticized for bowing to threats and canceling two panels related to video games and online harassment.

New electricity meters are smart—but are they trusted?

October 27, 2015

The smart grid: It's the power-system modernization effort that U.S. utilities are building to meet the country's growing demands for electricity. But it's not confined to power plants and substations—if you have a smart ...

Toward a smarter grid

October 20, 2015

Steven Low, professor of computer science and electrical engineering at Caltech, says we are on the cusp of a historic transformation—a restructuring of the energy system similar to the reimagining and revamping that the ...

UN science report: Warming worsens security woes

March 30, 2014

In an authoritative report due out Monday a United Nations climate panel for the first time is connecting hotter global temperatures to hotter global tempers. Top scientists are saying that climate change will complicate ...

Recommended for you

How the finch changes its tune

August 3, 2015

Like top musicians, songbirds train from a young age to weed out errors and trim variability from their songs, ultimately becoming consistent and reliable performers. But as with human musicians, even the best are not machines. ...

Machine Translates Thoughts into Speech in Real Time

December 21, 2009

( -- By implanting an electrode into the brain of a person with locked-in syndrome, scientists have demonstrated how to wirelessly transmit neural signals to a speech synthesizer. The "thought-to-speech" process ...


Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.