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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsSocial Security recipients could be in for a rude awakening
Social Security beneficiaries might not receive much of a cost-of-living adjustment next year, and some say recipients might not get anything at all.
COLA is linked to the consumer-price index, which has suffered lately because of low oil prices. Based on the CPI data between January and April of this year, COLA for next year would be zero, according to Mary Johnson, a Social Security policy analyst for The Senior Citizens League. There are still five months until the administration announces the COLA for 2021, which occurs in October.
The adjustment in 2020 was considered minimal, at 1.6% this year, down from 2.8% in 2019. COLAs have averaged 1.4% over the last decade, down from the average 3% it was between 2000 and 2009.
But even if the adjustment was above zero, it still wouldnt be enough for most retirees, studies show. Many Americans rely on Social Security benefits for some, and in some cases most, of their retirement income, but the benefit doesnt align with actual cost of goods for retirees.
https://www.msn.com/en-us/news/us/social-security-recipients-could-be-in-for-a-rude-awakening/ar-BB13Zamw?li=BBnb7Kz&ocid=DELLDHP
leftieNanner
(15,145 posts)And I just paid $250 for a two month prescription.
The math doesn't work out.
SheltieLover
(57,073 posts)2naSalit
(86,775 posts)in my subsidized rent though my SSDI stayed the same, I have no other income. And I no longer have dental or vision coverage.
WePurrsevere
(24,259 posts)They need to use CPI-E or similar that's based on the cost of things seniors (and disabled) spend their money on.
https://www.ncpssm.org/documents/social-security-policy-papers/the-cpi-e-a-better-option-for-calculating-social-security-colas/
Baked Potato
(7,733 posts)Liberal In Texas
(13,574 posts)Just another reason to get the bastards out.
I've never understood why some seniors still vote repub when it impacts their income directly.
panader0
(25,816 posts)Everything else is going up and up. Food is more of a need now
than gas.