Visualizing Income and Assets Among Medicare Beneficiaries: Now and in the Future
Many Medicare beneficiaries live on fixed incomes supplemented by the savings they accumulated during their working years. Their income and accumulation of savings is tied to many life experiences, including their education, health status, marital status, number of work years, household income, periods of unemployment, investments, years of homeownership, access to employer retirement benefits, inheritance, other financial supports, and various economic factors. This interactive tool describes the income, savings and home equity of people on Medicare in 2013, and in 2030 (in 2013 inflation adjusted dollars).
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About the data:
Asset and income projections are based on the Urban Institute’s Dynamic Simulation of Income Model (DYNASIM3). DYNASIM3 is a dynamic microsimulation model that projects the population and analyzes the long-run distributional consequences of retirement and aging issues. The model incorporates updated projections about the current and future U.S. economy, and the effects of the economic downturn and recovery on current and future beneficiaries’ income, savings, and home equity. The model starts with a representative sample of individuals and families and ages the data year by year, simulating demographic and economic events including all key components of retirement income. The model integrates many important trends and differences among groups in life course processes, including birth, death, schooling, leaving home, first marriage, remarriage, divorce, disability, work, retirement, and earnings. Projections of fertility, disability, mortality, net immigration, employment, average earnings, and price changes are aligned to be consistent with 2013 OASDI Trustees intermediate cost projections. Projections of assets are aligned to the Survey of Consumer Finance (SCF). For a fuller description of DYNASIM3, see Karen E. Smith. February 2012. “Projection Methods Used in the Dynamic Simulation of Income Model (DYNASIM3),” Program on Retirement Policy, The Urban Institute.
- Kaiser Family Foundation, “Income and Assets of Medicare Beneficiaries, 2013-2030” January 2014.
- Kaiser Family Foundation, “Wide Disparities in the Income and Assets of People on Medicare by Race and Ethnicity: Now and in the Future,” September 2013.
- Kaiser Family Foundation, “Projecting Income and Assets: What Might the Future Hold for the Next Generation of Medicare Beneficiaries?” June 2011.
- Kaiser Family Foundation, News release, June 2014.