Last year the Social Security Board of Trustees estimated that the Disability Insurance (DI) Trust Fund would become depleted by 2028, but just a year later things have improved and now the estimate is the fund would not be depleted until 2032.
Over the past few years both the DI Trust Fund and the Old-Age and Survivors Insurance Trust Fund have gained strength and extended their life. Although there is still a need to take action to extend the life further of both trust funds, things continue to improve.
“The fact remains that Congress can keep Social Security strong by taking action to ensure the future of the program,” said Nancy Berryhill, Social Security’s deputy commissioner of operations.
According to the Trustees Annual Report to Congress:
- The asset reserves of the combined Old-Age and Survivors Insurance and Disability Insurance (OASDI) Trust Funds increased by $44 billion in 2017 for a total of $2.89 trillion.
- The total annual cost of the program is projected to exceed total annual income in 2018 for the first time since 1982, and remain higher throughout the 75-year projection period. As a result, asset reserves are expected to decline during 2018. Social Security’s cost has exceeded its non-interest income since 2010.
- The when the combined trust fund reserves are projected to become depleted, in Congress does not act before then, is 2034 – the same as projected in 2017. At that time, there will still be sufficient income coming in to pay 79 percent of scheduled benefits.
- Total expenditures from the combined OASDI Trust Funds amounted to more than $952 billion in 2017.
- During 2017, an estimated 174 million people had earnings covered by Social Security and paid payroll taxes.
- The combined Trust Fund asset reserves earned interest at an effective annual rate of 3 percent in 2017.
