In the U.S., the median age is now 38.9, according to Census Bureau data from 2022 released Thursday. That means around half of the population is younger and half the population is older.
Based on this data, the U.S. population is older than it has ever been, said The New York Times. For example, the median age was 30 in 1980 and 35 in 2000.
“As the nation’s median age creeps closer to 40, you can really see how the aging of baby boomers, and now their children – sometimes called echo boomers – is impacting the median age. The eldest of the echo boomers have started to reach or exceed the nation’s median age of 38.9,” said Kristie Wilder, a demographer in the Census Bureau’s Population Division.
Wilder explained that while there have been more births than deaths in the U.S., birth rates have been declining over the past two decades.
“Without a rapidly growing young population, the U.S. median age will likely continue its slow but steady rise,” she said.
During the height of the COVID-19 pandemic in 2020 and 2021, there was a historically low rate of population change, according to the Census Bureau. Last year, the population increased by 0.4%. International migration was the primary driver of growth.
While the overall median age increased by 0.2 years from 2021 to 2022 to just under 39, it was above 40 in 17 states. Maine had the highest at 44.8, followed by New Hampshire at 43.3, while Utah (31.9), the District of Columbia (34.8), and Texas (35.5) had the lowest median ages in the nation.
As the U.S. population grows older, what might that mean for Social Security?
Currently, Americans can begin claiming Social Security retirement benefits if they are at least 62 years old and have paid into Social Security taxes for at least 10 years. Some people choose to wait to get bigger benefit checks, but the Motley Fool recently noted that is a risky option. There are also other programs, such as disability benefits.
According to U.S. News & World Report, the average monthly Social Security benefit increased due to inflation this year to $1,827.
In March, the Social Security Administration announced that the Old-Age and Survivors Insurance and Disability Insurance funds are expected to be depleted in 2034. Asset reserves from the funds depleted by around $22 billion last year and the total annual cost of the program is projected to exceed total annual income in 2023 and remain higher throughout the 75-year projection period.
“The Trustees continue to recommend that Congress address the projected trust fund shortfalls in a timely fashion to phase in necessary changes gradually,” said Kilolo Kijakazi, Acting Commissioner of Social Security. “Social Security will continue to play a critical role in the lives of 67 million beneficiaries and 180 million workers and their families during 2023. With informed discussion, creative thinking, and timely legislative action, Social Security can continue to protect future generations.”
CBS News reported in May that – even in the case that the trust fund becomes depleted – the Social Security Administration would continue to take in payroll taxes and be able to pay the majority of benefits, citing experts. However, benefits could be cut, which would leave older Americans in a dire situation.
To protect these Americans, some lawmakers have proposed raising the existing income tax cap. Sen. Bernie Sanders (D-Vt.) proposed legislation earlier this year that would “expand Social Security benefits by $2,400 a year and ensure Social Security is fully funded for the next 75 years – all without raising taxes by one penny on over 93 percent of American households that make $250,000 or less.”
Currently, any income above $160,000 is exempt form payroll tax. Sanders’ bill would increase that to $250,000. Deputy Chief Actuary Karen Glenn of the SSA said changes in the bill would shore up Social Security funds for the future. According to the Congress website, this bill has been referred to the Committee on Finance.
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