The Aging Population & Its Stress on the Healthcare System

Daniela Hrizo, 1/8/25

After World War II from 1946–1964, the US experienced the “Baby Boom,” and those born in the US from 1946-1964 are called “Baby Boomers.”  Essentially, this was due to a strong postwar economy where soldiers returned to their homes and families felt they could financially support a larger household. Thus, the birth rate rose impressively. Now, in the 21st century, the country is experiencing the consequences of this large and aging population.

Medicare

According to the National Library of Medicine, “In 2011, the first of 75-million-plus baby boomers became eligible for Medicare. And by 2029, when all of the baby boomers will be 65 or older, the US Census Bureau predicts 20 percent of the US population will be older than 65. Just by virtue of the sheer size of the baby-boomer population, Medicare spending growth will accelerate sharply in the coming years.” By 2030, all baby boomers will be eligible for Medicare, US federal health insurance for anyone 65 and older (applicable to some people under 65 with certain disabilities/conditions). This has already and will put an alarming amount of pressure on the US healthcare system because there will be an increasing need to care for the elderly. This causes a strain in resources, professionals, and more. There are also more underlying consequences of this aging population.

Increased Use & Long-term Healthcare

According to the Office of Disease Prevention and Health Promotion of the U.S. Department of Health and Human Services, “Most older adults in the United States have at least 1 chronic health condition, making access to affordable, quality health care a priority.” Elderly individuals need to frequently see the doctor for consistent checkups or chronic conditions. This directly puts more stress on clinics and other establishments.

Healthcare Costs

Along with an increase in chronic and complex conditions, there is a greater need for specialized equipment, treatments, and medication. This means there may be higher insurance premiums or out-of-pocket costs.

Healthcare Labor Shortage

On top of this, not only do older adults need specialized equipment and products, but they also need specially trained medical professionals for the elderly. A geriatrician is a physician who specializes in care for older adults. There are not enough geriatricians to support the rapidly aging population. According to the AAMC's most recent projections of physician supply and demand, “What’s more, by 2034 the population of people age 65 and over is expected to grow by 42.4% from where it stood in 2019." As for geriatricians specifically, the U.S. Department of Health and Human Services projects a shortage of nearly 27,000 by 2025. “We will never have enough geriatricians to meet the rising need," says Lisa Granville, MD, associate chair of the Department of Geriatrics at Florida State University (FSU) College of Medicine in Tallahassee.

Impact on Dependency Ratio

As more baby boomers reach retirement age, there is a decline in the working-age population. This drastically increases the dependency ratio. The dependency ratio is a ratio that compares the number of dependents (people under 15 or over 64) to the working-age population (people between 15 and 64). This is used to determine the amount of pressure on the working-age population. A high dependency ratio indicates that there is a greater burden on the working-age population. This is the case in the US. This means that there are not enough working adults to support funding for healthcare for the elderly (including things like schools for children, etc.).

Need for Family & Caregivers

According to the Office of Disease Prevention and Health Promotion, “Older adults’ health and well-being also has broader implications for society. People aged 65 years and older made up 17 percent of the population in 2020. By 2040, that number is expected to grow to 22 percent. An aging population means higher use of health care services and a greater need for family and professional caregivers.” Along with an increased need for healthcare and medicine, there is also a larger need for caregivers and people to take care of the elderly in the home. This further adds more stress onto their family members because they are most likely working individuals that may not have the time or money to commit to their daily activities and health monitoring.

All in all, the aging “Baby Boomer” population has resulted in several consequences. These have created a great burden and stress on the US federal healthcare system. We will see the full effects of the “Baby Boomers” by 2030, where all Americans born from 1946-1964 will be eligible for Medicare- federal health insurance. From impacting healthcare costs and labor to increasing the dependency ratio and putting burdens on households across the US, the issue of the aging population is multifaceted and poses a strain on the federal economy.