What Project 2025 Says About Social Security and Medicare
Project 2025 is a policy document released by The Heritage Foundation in 2024 that outlines proposed changes to federal programs. It includes specific proposals about how Social Security and Medicare would work differently if those proposals became law. The document suggests raising the retirement age, means-testing benefits (paying less to higher-income seniors), and allowing private accounts for Social Security. For Medicare, it proposes higher out-of-pocket costs for beneficiaries and increased reliance on private insurance options.
Project 2025 is not law and has not been enacted. It represents one organization's policy recommendations, not a current change to your benefits. However, understanding what it proposes can help you follow policy discussions and know what to watch for in news about Social Security and Medicare.
Key Takeaways
- Project 2025 proposes gradually raising the full retirement age for Social Security beyond the current 67, which would reduce monthly payments for people who claim before that age.
- The document suggests means-testing Social Security, meaning people with higher incomes or savings would receive smaller benefits or none at all.
- For Medicare, Project 2025 proposes higher deductibles and copayments, and shifting more beneficiaries toward private Medicare Advantage plans.
- These are proposals only — they are not current policy and would require Congressional action to become law.
- Changes to Social Security or Medicare typically phase in slowly over many years, so current beneficiaries are usually protected from when ready changes.
Project 2025's Proposed Changes to Social Security
The document proposes raising the full retirement age — the age at which you receive 100 percent of your Social Security benefit — beyond the current 67. Under current law, the full retirement age is already scheduled to reach 67 for people born in 1960 or later. Project 2025 suggests increasing it further, possibly to 69 or 70 over time. This would mean that if you claim at 62 (the earliest age allowed), your monthly payment would be smaller than it is today.
Project 2025 also proposes means-testing Social Security benefits. This means the government would look at your total income and assets, and reduce or eliminate your benefit if you exceed a certain threshold. Currently, Social Security does not do this — you receive your full benefit regardless of how much money you have. Under means-testing, a senior with substantial retirement savings or investment income might receive a reduced benefit or no benefit at all, even though they paid into the system their entire working life.
The document proposes allowing workers to divert part of their Social Security payroll tax into private investment accounts. This would mean a portion of the money you would normally pay into Social Security would instead go into an account you could invest in stocks or bonds. The risk would fall on you — if your investments perform poorly, your eventual benefit would be smaller.
Project 2025's Proposed Changes to Medicare
For Medicare, Project 2025 proposes increasing what beneficiaries pay out of pocket. This includes higher deductibles (the amount you pay before Medicare coverage kicks in) and higher copayments (the amount you pay each time you use a service). The document also suggests reducing what Medicare pays doctors and hospitals, which could affect how many providers accept Medicare patients.
The proposal encourages shifting more Medicare beneficiaries into Medicare Advantage plans — private insurance plans that contract with Medicare. Currently, about 45 percent of Medicare beneficiaries are in Advantage plans; the rest use Original Medicare (the government-run program). Project 2025 suggests making Advantage plans more attractive by giving them more funding or fewer regulations, which could push more people toward private coverage.
The document also proposes raising the Medicare may be able to access age from 65 to 67. This would mean people would have to wait two additional years before they could enroll in Medicare, unless they may have access to through disability or end-stage renal disease.
How Policy Proposals Become Law
Project 2025 is a recommendation from one organization, not a bill in Congress. For any of these proposals to take effect, they would need to be introduced as legislation, debated in Congress, pass both the House and Senate, and be signed by the President. This process typically takes months or years, and many proposed changes never become law.
Social Security and Medicare changes, when they do happen, usually phase in gradually over many years. For example, the current increase in full retirement age from 65 to 67 began in 1983 and will not be complete until 2027. This means current beneficiaries are usually protected from sudden changes, and younger workers have time to plan.
What Current Beneficiaries Should Know
If you are already receiving Social Security or Medicare, Project 2025's proposals would not affect your benefits when ready. Federal law generally protects current beneficiaries from sudden changes. However, if you are approaching retirement age or not yet enrolled in Medicare, understanding these proposals can help you make informed decisions about when to claim benefits or which Medicare plan to choose.
The best approach is to stay informed about actual legislative changes, not just proposals. You can monitor updates from the Social Security Administration (SSA) and Centers for Medicare and Medicaid Services (CMS) through their official websites, or ask your doctor's office or local senior center for updates on policy changes that might affect you.
How to Stay Informed About Policy Changes
The Social Security Administration publishes updates about any changes to the program on ssa.gov. You can also call 1-800-772-1213 to speak with an SSA representative about how current policy affects your specific situation. Medicare publishes updates on medicare.gov, and you can call 1-800-MEDICARE for questions about your coverage.
Local Area Agencies on Aging often hold workshops about Medicare and Social Security changes. You can find your local agency by calling the Eldercare Locator at 1-800-677-1116. These agencies can explain how any actual changes would affect you personally.
Frequently Asked Questions
If Project 2025 becomes law, would my current Social Security check change?
No. Changes to Social Security typically protect people already receiving benefits. If the retirement age were raised, it would explore to people not yet at full retirement age, not to current beneficiaries. Means-testing would likely explore only to new beneficiaries or people not yet claiming.
What is the difference between Project 2025 and an actual law?
Project 2025 is a policy proposal from The Heritage Foundation. A law must be written as a bill, introduced in Congress, debated, voted on in both the House and Senate, and signed by the President. Many proposals never become law, and those that do often change significantly during the legislative process.
Should I claim Social Security early because of Project 2025?
No. Claiming early reduces your monthly benefit permanently. The decision about when to claim should be based on your current health, life expectancy, and financial needs — not on proposals that may never become law. Speak with a Social Security representative about how claiming age affects your specific benefit amount.
Would Medicare Advantage plans change if Project 2025 proposals passed?
Possibly. If the proposals increased funding for Advantage plans or reduced regulations, insurers might offer different benefits or lower premiums. However, you would still have the right to choose Original Medicare instead. Any changes would take time to implement and would be announced through Medicare.gov and your plan.
Where can I read Project 2025 myself?
The Heritage Foundation published Project 2025 online. You can search for "Project 2025 Heritage Foundation" to find the full document. It is a lengthy policy paper, so you may want to start with summaries from news organizations or your local Area Agency on Aging, which can explain how the proposals might affect your situation.