Social Security offers a vital safety net for American seniors. Unfortunately, the benefits offered by this crucial program fall short of meeting the needs of the average American retiree.
Monthly Expenses are Challenging for Seniors
Times have been tough for many Americans in recent years, but few have it harder than seniors. For one thing, older Americans typically have more significant medical expenses. With skyrocketing medication prices and nearly constant Medicare premium increases, It can be hard to afford basic needs. Furthermore, most seniors have fewer options to earn extra income during difficult times.
Inflation Continues To Make Things Worse
Difficult times, however, are not limited to seniors, nor are they exclusively tied to healthcare costs. Inflation has made it hard to afford many of the things we used to take for granted. The United States has been navigating down a bumpy road of economic recovery in the years following the COVID-19 pandemic.
While inflation rates have slowed, that does not mean prices have gone down. The average American still struggles with high prices at the grocery store and the gas pump while housing costs are out of control.
COLA Just Doesn’t Cut It
The annual Cost-of-Living Adjustment (COLA) is designed to offset inflation for Social Security recipients. The problem is that the way this increase is determined ensures that seniors do not get the boost they need.
The Social Security Administration explains that the COLA is based on “the percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of the last year a COLA was determined to the third quarter of the current year.”
Using this process, however, ignores the specific challenges seniors face. For example, it does not account for medicare premiums and prescription price increases. This is why change needs to happen immediately for older Americans.
The Elder Relief Act is the Change Seniors Need
The Elder Relief Act would provide an $85 per month increase to Social Security benefits for Americans 82 and up. It would also guarantee a minimum 4 percent increase every year after. This change would finally allow benefits to keep up with inflation.
Please take a moment to let your Congressman know that this legislation needs to be enacted. Be sure to check back here for the latest updates on this and more.