Trump vows to 'protect' Social Security, Medicare and Medicaid' — but there's a major problem
In his 2026 State of the Union address, U.S. President Donald Trump boldly claimed that he and his administration are committed to making it easier for Americans to save for retirement and to "always protect Social Security, Medicare, and Medicaid." While the president's claims looked promising, the groundwork laid down by his administration through the One Big Beautiful Bill Act has done the opposite for the vital social safety nets. 
“Under this administration, we will always protect Social Security, Medicare, Medicaid," the president proudly proclaimed in his speech, per Fortune. Moreover, even though it was his administration's "one big beautiful bill act" that cut over $1 trillion in funding for the programs, Trump blamed the Democrats for the situation. "These people are crazy," he said, looking at the Democratic side of the aisle, adding that “the crushing cost of health care” was caused by them.
He then went on to blast the Affordable Care Act and touted his plans to end a part of the law's health insurance tax credits, which resulted in health insurance cost hikes. That said, the president's pledge to protect the social safety nets sounds empty, as most recently, Vice President JD Vance announced the administration would “temporarily halt” some Medicaid funding to the state of Minnesota due to fraud concerns, according to a report from The Guardian.
The crackdown on public-funded programs began with the spending measure introduced under the One Big Beautiful Bill Act. At the time, the changes were expected to cut roughly $1.1 trillion in health-care spending, leaving 11.8 million people without health insurance over the next decade, as per the estimates of the nonpartisan Congressional Budget Office. The CBO noted that about $1 trillion of those cuts would come from Medicaid, a joint federal and state health insurance program for disabled and low-income Americans.
A recent report from the CBO added that policy shifts have cut 12 years of projected solvency from the Hospital Insurance (HI) Trust Fund, which serves as the financial backbone for essential health services, and pays for Medicare Part A. The vital fund is now expected to be exhausted by 2040, marking a 12-year cut from the previous projection of 2052. As per the report, the cuts were necessary due to the financial strain caused by the OBBBA, which lowered tax rates and added a temporary deduction for taxpayers aged 65 and older. The CBO estimates that the HI Trust Fund, which pays for health services, including inpatient hospital care, home health care, skilled nursing facility stays, and hospice care, will run out, while Medicare would be legally restricted to paying out only what it collects in revenue. This means there will be automatic cuts in benefits, and as per the CBO, they will start at 8% and climb up to 10% by 2056.
Social Security also faces challenges as the CBO estimates the trust fund will run out of money by 2032. The report noted that if Congress fails to intervene, benefits would be limited, and a typical couple turning 60 this year will see an $18,400 annual cut to their retirement benefits, once the fund runs out. Despite these concerns, Trump called the tax cuts under the OBBBA "really important and very necessary," blasting Democrats for the previous rates. "They wanted large-scale tax increases to hurt the people instead. But we held strong, and with the great Big Beautiful Bill, we gave you no tax on tips, no tax on overtime, and no tax on Social Security for our great country," he said as per Fortune.
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