Managers of the fund that supports the Social Security Disability Insurance (SSDI) program say it’s still on track to run dry in “late 2016″ — around election time.
The trustees of the SSDI trust fund and the main Medicare Part A hospitalization trust fund talk about the funds’ finances in new annual reports.
The SSDI program should take in enough revenue to cover about 81 percent of claims if Congress makes no changes, the trustees say. SSDI’s reserves now amount to less than 40 percent of the program’s annual costs, the trustees say.
The actual results could be worse than the projections, because the trustees assume that real, inflation-adjusted interest rates on fund assets will be about 2.4 percent to 3.4 percent. The average inflation-adjusted rate for the 10-year period ending 2012 was just 1.33 percent.
The actual real interest rate on fund assets was negative 0.75 percent in 2011 and positive 0.32 percent in 2012, the trustees say.
“These swings partly reflect volatility in energy prices,” the trustees say.