There was another deadlock in Congress. Democrats and Republicans failed to pass a stop-funding bill, which puts the government on the brink of shutdown as the new fiscal year begins. Although political impasse is nothing new, the impact can be serious, especially for the elderly. This article breaks down what the closure really means for older Americans, these plans can be paused, and how to break into your wallet.
Social Security, Medicare and Medicaid
Social Security is funded through a measure under the Social Security Act, which provides permanent and unlimited grants. This means Congress will surely fund the program without spending dollars or time limits.
Funding for Medicare and Medicaid can operate in the first quarter of 2026 without disruption, according to the Department of Health and Human Services. However, some services may slow down due to staff shortages due to closures.
Health and human services may be affected
While Medicare and Medicaid should be safe now, some related programs will affect in various ways. These include plans for federal agencies operating:
- Centers for Medicare and Medicaid Services (CMS)
- Federal Drug Administration (FDA)
- National Institutes of Health (NIH)
- Centers for Disease Control and Prevention (CDC)
Flu shooting and monitoring
Elderly people can still use flu shots during the government shutdown. You can shoot in a pharmacy, a physician’s office or a clinic. The CDC recommends that everyone over six months of age receives the flu vaccine. It is also recommended The elderly get Respiratory Comprehensive Virus (RSV) Vaccine and Updated Covid-19 vaccine.
October is often considered the beginning of autumn, which means we are in flu season. The CDC launches its seasonal flu program every year. The closure will affect every aspect of the plan. Most notably, outbreak detection and tracking on the interstate line will be restricted or stopped.
ACA and shutdown
Elderly and others not covered by insurance should sign coverage under the Affordable Care Act (ACA) starting November 1. The process will continue. However, if government subsidies are not renewed, annual premiums are expected to double. This may be unaffordable for many people.
KFF study finds ACA premiums will increase by 114% From $888 to $1,904 next year without the need for extended subsidies.
Currently, 22 million people participate in the ACA coverage.
The ACA and its continued funding are the focus of the deadlock between Washington Democrats and Republicans. Each party provided its own freeze-form expenditure proposal at a meeting that lasted through the evening on September 30. In turn, all parties vote to decide on the other party’s legislation.
Democrats hope to remove Medicaid and ACA cuts in a major bill (OBBB) spending by President Trump. Republicans objected to the recovery of such funds at the cost.
OBBB is estimated to increase its deficit by $3.4 trillion by 2034According to the Congressional Budget Office.
Funding cuts at home care and telemedicine
Seniors who receive hospital-level home health care have lost this treatment and are required to be admitted. In addition, some older people are unable to access telehealth services.
Kyle Zebley, Senior Vice President of Public Policy American Telehealth Association (ATA), Detailed explanation of the effect Close patients, doctors and hospitals.
“Medicare beneficiaries will no longer require telehealth access, and key programs such as emergency hospital care plans can face significant disruption. We will essentially return to pre-pandemic restrictions that severely limit the urgently needed telehealth services,” Zebley said last week. “If the reimbursement disappears, hospitals and clinicians will work hard to maintain telemedicine-based care. This is untenable.”
Overall economic impact
Even a brief closure will have a significant impact on certain programs, such as telemedicine and emergency hospital care at home. Not only will the patient care in these plans be disrupted, but the burden on hospitals to accept patients cared for at home is increased.
However, the overall impact of the government closure on the economy will increase over time. A CBO study from December 2018 to January 2019 estimated that the economy lost $3 billion, reducing GDP by .02%.
The closure may even affect interest rates. The Federal Reserve Bank’s work figures in determining interest rates. Although Friday’s planned report will not be released. Similarly, if the closure continues, inflation in mid-October will not be published.
Mid-October is also the time for the social security cost of living adjustment (COLA) to be published. Therefore, the extension’s shutdown may delay the announcement of Coke adjustments. The figures that determine Coke come from the Consumer Price Index (CPI) released by the Bureau of Labor Statistics (BLS). The agency said CPI “If extended, there may be delays.”
Other considerations
Fall is one of the busiest travel seasons, and although airports will remain open, shutdowns may make flights even more frustrating. Air traffic controllers and TSA agents are considered essential, meaning they will continue to work but have no salaries, increasing the risk of delays and tight service. The same goes for law enforcement and military personnel, who will continue to be on duty despite the political deadlock. In short, everyday life doesn’t stop, but cracks in the system are more visible than ever.
Are you worried about how the government shutdown will affect your daily life? Let us know your concerns in the comments below.
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