Medicare Bound to Bust as First Boomers Hit 65

WASHINGTON - The coming year is a big one for President George W. Bush, President Clinton and for millions of others born in 1946, the start of the post-war baby boom.

They're turning 65.

That makes them eligible for Medicare, with huge implications for our future, CBS News Correspondent Sharyl Attkisson reports.

(Scroll down to watch a video of this report)

On New Year's Day, the first baby boomers will celebrate the big 6-5, and they're not just getting older. They're getting more costly.

"Boomers" are the 77 million Americans born from 1946 through '64. Beginning Jan. 1, 10,000 a day will turn 65. That will continue for the next 19 years.

"The retirement of the baby boom generation will bring a tsunami of spending that will cause a severe problem for the federal government's budget over time," said David Walker, former U.S. comptroller general and CEO of the Comeback America Initiative.

Take Medicare, health care for the elderly and disabled:

• The number of people eligible will nearly double from 46 million to 80 million by the time all the boomers reach 65.
• It's estimated the cost will grow from $500 billion a year today to $929 billion by 2020. (more)