The article "Social Security, Medicare Weaker was posted 3/17/03 in the CBS News. The article was published March 17, 2003. The article stated that the Social Security trust fund is slightly stronger than it was a year ago, but the Medicare program for the elderly is four years closer to insolvency as the baby boomer generation prepares to tap into both programs, according to the trustees of the program.
President Bush has proposed allowing younger workers to start investing privately a portion of their Social Security taxes, but key Republicans in Congress have said they don't expect that kind of major overhaul taking place until after the 2004 election. According to the article the Social Security's projected insolvency date was extended to 2042, one year later than what was projected a year ago, according to the annual report released by the government trustees. The Medicare's insolvency dates were moved up to 2026 from 2030 a year ago.
Government officials have been predicting for years that the retirement insurance and health care funds for the elderly both financed through payroll taxes will be pushed toward insolvency as more post-World War 11 baby boomers reach 65. The trustees" said the deterioration of Medicare's financial picture in the last year was due to projected lower tax receipts devoted to the program and higher expenditures for inpatient hospital care.
Many republican leaders have said than adding a prescription drug benefit without broad reforms would doom the already financially strained Medicare program. Democrats have accused the GOP of exaggerating the program's plight. They believe that President Bush and his allies ultimate goal is to siphon taxpayer funds to the insurance industry by pushing elderly and disabled Medicare beneficiaries into managed care and other private plans.
The implication for social work is to have a strong lobbyist to help put in place policies that would guarantee protection of social security and Medicare insurance funds for the elderly.