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Putting People First by Strengthening Medicare for the Future: Promising Payment and Delivery System Innovations in Medicare

By many measures, Medicare’s financial status improved during the past decade.2 In large part, this is the result of policy changes in the Affordable Care Act (ACA) of 2010, which contributed to slower spending growth. In 2018, Medicare spending was 20 percent lower than had been projected in 2009, a reduction of $185 billion.3 Still, while Medicare is not “going broke,” the program—like the rest of the health care system—faces long-term financial pressures from rising health care costs, as well as from an aging population.4