President Obama said Monday that despite the dire predictions, neither Social Security nor Medicare is in "crisis," and that the Affordable Care Act has helped.
"Medicare and Social Security are not in crisis; nor have they kept us from cutting our deficits by two-thirds since I took office," Obama said during a conference on aging convened at the White House Monday. However, "both programs are facing challenges because of the demographic trends," including the waves of baby boomer retirements, Obama conceded.
"For Medicare, that means we've got to keep slowing the growth of healthcare costs and keep building on the progress we've already made in the past few years," Obama said.
Since the ACA took effect, the Medicare trust fund's solvency has been extended 13 years, Obama said. "We're moving Medicare toward payment models that require quality of care instead of quantity of care as the measure of what you get paid; creating a different set of incentives."
"What's more, this law has saved over 9 million people on Medicare currently more than $15 billion on their prescriptions," he added. "They don't always know that it's because of 'Obamacare,' but that's why [seniors] have been paying cheaper drug prices."
Reports that the Baby Boom generation's mass retirements, now underway, would decimate Social Security and put the nation further in the red have been issued for years. Multiple blue ribbon panels on how to shore up the entitlement programs have been convened numerous times by presidents, Congress and think tanks alike.