2033 Social Security cliff could cost newly retired couples about $16,900 a year

If Congress does nothing, Social Security trust funds are projected to run dry by end of 2032, triggering a roughly 22% annual benefit cut in 2033 that could mean about $16,900 less per year for newly retired couples. Medicare Part A is also expected to face about an 11% cut around 2033, while Parts B and D premiums rise, increasing out-of-pocket costs. Lawmakers have proposed various options (raising payroll taxes, lifting the benefit cap, extending the retirement age, and creating a bipartisan advisory board), but no consensus has emerged to shore up funding.