Plenty of controversy accompanies the move, known as a cost-of-living adjustment or COLA.
Critics say the data the government uses to set the increase doesn’t reflect what older Americans are actually spending, and thus the inflation they’re actually feeling. The increase is also one-size-fits-all, which means beneficiaries get the same raise regardless of where they live or how big a nest egg they may have.No, but it’s likely the heftiest in 40 years, which is longer than the vast majority of Social Security beneficiaries have been getting payments. In 1981, the increase was 11.2%.
More specifically, the increase is based on how much the CPI-W increases from the summer of one year to the next.No. People generally pay more attention to a much broader measure of inflation, the CPI-U index, which covers all urban consumers. That covers 93% of the total U.S. population. “The COLA doesn’t take into account where you live or your actual spending patterns,” said William Arnone, CEO of the National Academy of Social Insurance. “For some people, it’s an overstatement of cost of living for, say, small towns in the Midwest versus urban areas like New York, D.C. or Chicago. With many older people choosing to live in suburban areas or rural areas, some will benefit more” than others from the same-sized increase.
Social Security’s boost, though, will have a smaller impact on the economy than past stimulus packages provided by Washington, snarls in supply chains caused by worldwide shutdowns of businesses or other factors that economists say are behind the worst inflation in decades.
Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
Social Security increase: Here’s when the COLA for 2023 will be announcedMark your calendars: Oct. 13 is the date when the cost-of-living-increase, or COLA, for Social Security will be announced
Weiterlesen »
Social Security increase: COLA announced Thursday; how much will it be?The yearly Cost of Living Adjustments – or COLAs – are determined by data reported in the Consumer Price Index showing the year-over-year change in prices for goods and services for July, August and September.
Weiterlesen »
KGO 810 news-talk radio replaced by sports-gambling station The SpreadCumulus Media touts ‘expert personalities’ and ‘plenty of sports smack.’
Weiterlesen »
This New Electric Bike Looks So Cool It Will Make Your Café Racer JealousIts electric hub motor produces plenty of pep, too.
Weiterlesen »
The Astros and Mariners have had plenty of bad blood in recent years. Here's what happened.As American League West counterparts, the Astros and Mariners play each other nearly 20 times a year, so it’s only natural that a bit of distaste eventually develops between the two teams.
Weiterlesen »
Social Security boost will help millions of kids, tooThe Social Security COLA will be announced Thursday, and analysts expect it to be around 9% or even higher.
Weiterlesen »