U.S. entitlement spending disproportionately favors seniors over younger workers

Current U.S. federal policy disproportionately redistributes wealth from younger workers to senior citizens, creating significant economic disparities. While intended to support vulnerable elderly populations, the current system of entitlement spending—driven largely by Medicare and Social Security—has resulted in working-age Americans facing greater financial instability than seniors.

Data indicates that working-age Americans are three times more likely than seniors to be unable to pay utility bills, skip meals, or miss medical appointments due to low income. Additionally, they are twice as likely to live in homes with pest issues and 50 percent more likely to reside in neighborhoods perceived as unsafe. Despite having higher annual incomes, working-age households hold significantly fewer assets than those aged 65 and older.

In 2022, Americans aged 65 and older received 66 percent of total U.S. entitlement spending while contributing only 11 percent of direct tax revenues. In contrast, those aged 18 to 64 received an average of $5,359 in benefits while paying $12,398 in direct taxes. To address this imbalance, proposals suggest Congress reduce the payroll tax burden on workers and allow them to borrow against their future Social Security benefits to meet immediate economic needs.