Michael A. Peterson, CEO of the Peter G. Peterson Foundation, commented today following the release of the 2025 Social Security and Medicare Trustees reports:

“The Social Security and Medicare Trustees have once again put America on notice that two of our most important federal programs are on a path to insolvency. According to the Trustees’ report, absent reform, there will be automatic, immediate benefit cuts of 23% for all Social Security participants in 2033, only eight years from now. The Medicare trust fund will also deplete its reserves in 2033, leading to cuts for healthcare that millions of Americans rely on.

“Despite these repeated dire warnings, Washington continues to ignore this obvious problem that is staring down seventy million retirees. Worse yet, they actually accelerated the pace of insolvency through actions taken last year, and this year Congress is on a path in reconciliation to add trillions to our national debt. Driving deficits higher while Social Security and Medicare’s finances continue to deteriorate is a terrible prescription for our nation’s future.  

“The only good news is that we know how to solve this problem, and it’s entirely within our control to do so. In the 1980s, we faced a similar crisis, with depletion dates rapidly approaching for Social Security, and leaders from both parties came together to implement forward-looking, responsible solutions. With depletion and automatic cuts again just several years away, now is the time for another bipartisan effort and positive result.”