UPDATED 10:38 AM PT – Tuesday, April 23, 2019
The Trump administration released an annual report by the Trustees of the Social Security and Medicare on Monday. According to claims within the report, the Social Security retirement program will be unable to pay full benefits by the year 2035.
The report is being seen as a call to action. Without reforms, payments to the tens of millions of beneficiaries could be cut by 25-percent in order to keep the program afloat.
The U.S. currently has three trillion dollars in reserves, however, the government may have to tap into those funds as early as next year.
In the short term, it appears a strong economy and low unemployment is helping fund the program.
“And we’re zooming and our country is doing well, we’re the hottest economy in the world, stated President Trump. “We’re, by far, the biggest economy in the world.”
Despite this, the trustees said it is not enough. They have suggested an increase in social security taxes, or less generous benefits for anyone registering this year or after.
Although a clear solution has not been found, officials on both sides of the aisle agree that something should be done sooner rather than later.