“something that needs more immediate attention” Da Ya Think?
This is nothing new, the Trustees have been reporting the status of the trust for years urging Congress to act. And yet, all they do is propose more new programs and more spending.
What’s wrong with this picture?
In April, Medicare’s trustees reported that the Part A trust fund, which pays for hospital and other inpatient care, would start to run out of money in 2026. That is the same as the projection in 2019.
But the trustees cautioned at the time that their projections did not include the impact of COVID-19 on the trust fund. Article continues after sponsor message “Given the uncertainty associated with these impacts, the Trustees believe that it is not possible to adjust the estimates accurately at this time,” said the report.
So Shulkin, now a senior fellow at the Leonard Davis Institute of Health Economics at the University of Pennsylvania, did his own projections in early July. Given even a conservative estimate of how many workers and businesses would not be contributing payroll taxes that finance Part A spending, he said, the trust fund could become insolvent as early as 2022 or 2023.
“I think this is something that needs more immediate attention,” he said.