{"id":73,"date":"2026-06-13T19:50:30","date_gmt":"2026-06-13T19:50:30","guid":{"rendered":"https:\/\/unitedonlineshopping.com\/?p=73"},"modified":"2026-06-13T19:50:30","modified_gmt":"2026-06-13T19:50:30","slug":"will-social-security-run-out","status":"publish","type":"post","link":"https:\/\/unitedonlineshopping.com\/?p=73","title":{"rendered":"Will Social Security Run Out?"},"content":{"rendered":"
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The 2026 Social Security and Medicare Trustees Report<\/a> was released on June 9, and the headline number got worse. The trust fund that pays retirement benefits is now projected to run dry in late 2032.<\/strong> That is one quarter earlier than last year\u2019s estimate and leaves the program roughly six years away from the point at which it can no longer cover full benefits.<\/p>\n

Social Security\u2019s Insolvency Date Moved Up Again in the New Trustees Report<\/strong><\/h2>\n

If Congress does nothing before then, benefits would not<\/em> stop. They would shrink. Once the reserves run out, incoming payroll taxes would cover about 78% of scheduled benefits, resulting in 22% cut. <\/p>\n

Here is what the report actually says, who it impacts, what a 22% cut would mean in dollars, and what you can do about it now.<\/p>\n

What the Report Found<\/strong><\/h2>\n

Social Security runs two trust funds. The big one, Old-Age and Survivors Insurance (OASI)<\/strong>, pays retirees and survivors. The much smaller Disability Insurance (DI)<\/strong> fund pays benefits to disabled workers and is projected to remain solvent past 2100.<\/p>\n

The 2026 report projects the OASI fund will deplete its reserves in the fourth quarter of 2032. At that point, the automatic cut would be 22%.<\/strong><\/p>\n

You may also see a 2034 date floating around. That figure assumes the two trust funds are legally combined into a single \u201cOASDI\u201d fund, which would push the depletion date out two years and soften the cut to 17%. Combining them is not automatic. It would take an act of Congress.<\/p>\n

Medicare got attention in the same report. The Hospital Insurance trust fund that pays for Medicare Part A is now projected to be insolvent in 2033, at which point it could cover about 89% of scheduled payments.<\/p>\n

This chart<\/a> from the Social Security Administration helps sum up the report:<\/p>\n

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What a 22% Cut Looks Like in Real Money<\/strong><\/h2>\n

The average retirement benefit is around $2,017 a month. A 22% reduction takes a meaningful bite out of that, and the dollar loss grows with the size of your benefit.<\/p>\n

The Bipartisan Policy Center ran the numbers for a few household types:<\/p>\n