During an interview on CNBC, Jack Lew emphasized that Social Security is projected to run out of sufficient income to fully pay benefits by the next presidency, with the trust fund potentially depleting by late 2032. Currently, over 75 million Americans rely on Social Security, and the program's funding challenges are exacerbated by rising demand as more individuals reach retirement age.
In fiscal year 2026, outlays for Social Security, Medicare, and Medicaid increased significantly, contributing to a cumulative deficit of $2 trillion. Lew urged lawmakers to begin discussions on reform, referencing the bipartisan reforms of 1983 as a potential model.
He expressed skepticism about proposals to invest Social Security funds in the stock market, advocating instead for a focus on adjusting the wage base and tax contributions to ensure the program's sustainability