Medicare is funded on a pay as you go system if that is what you mean. The government uses every bit of the Medicare payroll taxes they collect and then borrow more to pay their obligations.
This is why Congress is trying to come up with ways to "save" Medicare.
Insurance Broker | Financial Consultant, Lawrence Insurance Consulting, Southern New Jersey
Medicare part A which covers medical expenses resulting from hospital services is financed by payroll taxes on workers in employment covered by OASDI(Old-Age, Survivors, And Disability Insurance) on a pay as you go basis. Medicare part B which covers partial reimbursement for the cost of physician services, diagnostic tests, ambulance services, prosthetic devices, physical therapy, medical equipment, and home health services is funded primarily through the premiums of those enrolled and is not "pay as you go".
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This is why Congress is trying to come up with ways to "save" Medicare.