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Trustees: Social Security, Medicare face long-term financial problems despite good news

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    Health and Human Services Secretary Sylvia Burwell, center, flanked by Treasury Secretary and Managing Trustee Jacob J. Lew, left, and Labor Secretary Thomas E. Perez, speaks at a news conference at the Treasury Department in Washington, Monday, July 28, 2014, to discuss the release of the annual Trustees Reports. (AP Photo/Susan Walsh) (The Associated Press)

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    Acting Social Security Commissioner Carolyn Colvin, right, speaks at a news conference at the Treasury Department in Washington, Monday, July 28, 2014, to discuss the release of the annual Trustees Reports. From left are, Health and Human Services Secretary Sylvia Burwell, Labor Secretary Thomas Perez, Treasury Secretary and Managing Trustee Jacob J. Lew and Colvin. (AP Photo/Susan Walsh) (The Associated Press)

  • c06656ac90f77410VgnVCM100000d7c1a8c0____-Social Security Medicare-3.jpg

    Health and Human Services Secretary Sylvia Burwell speaks at a news conference at the Treasury Department in Washington, Monday, July 28, 2014, to discuss the release of the annual Trustees Reports. (AP Photo/Susan Walsh) (The Associated Press)

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    Treasury Secretary, and Managing Trustee, Jacob J. Lew, joined by members of the Social Security and Medicare Boards of Trustees, speaks at the Treasury Department in Washington, Monday, July 28, 2014, during a news conference to discuss the release of the annual Trustees Reports. (AP Photo/Susan Walsh) (The Associated Press)

Despite some good news, Medicare and Social Security still face long-term financial problems as millions of baby boomers reach retirement.

Social Security's disability program is already in crisis as it edges toward the brink of insolvency.

The trustees who oversee Social Security and Medicare issued their annual report Monday on the financial health of the government's two largest benefit programs.

Medicare is getting relief from a slowdown in health care spending. Medicare's hospital trust fund won't be exhausted until 2030. That's four years later than last year's estimate.

Social Security's massive retirement program will remain solvent until 2034. The disability trust fund, however, is slated to run dry in just two years. At that point, the program will collect only enough payroll taxes to pay 81 percent of benefits.