A new report shows that the Social Security system’s main trust fund will be depleted by 2035—one year later than a prior estimate, though concerns remain about the fund’s solvency.

The Social Security Board of Trustees released its annual report on May 6 that projects that the Social Security trust fund, which consists of the combined asset reserves of the federal Old-Age and Survivors Insurance and Disability Insurance (OASI and DI) Trust Funds, will become “depleted” in 2035.

At the point that the combined fund runs dry, Social Security will only be able to pay out 83 percent of scheduled benefits.

In a fact sheet, the Treasury Department said that the improvement in the long-term finances of the Social Security fund was mostly due to an upward revision to labor productivity over the projection period based on stronger economic growth, combined with a lower assumed rate of workers going on long-term disability.

Martin O’Malley, commissioner of Social Security, said in a statement that the projected one-year delay in the fund’s go-broke date is good news for the millions of Americans who depend on Social Security. Still, he warned that the threat of the shortfall continues to loom large unless Congress takes action to extend the health of the fund.

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