- Social Security benefits will go up.
- The adjustment means an additional $ 92 per month on average for the retired worker.
- These benefits will go up 5.9 percent by 2022.
Social Security benefits will go up and millions of retirees in the United States system will see a 5.9% increase by 2022. This is the largest cost-of-living adjustment in 39 years, following a spike in inflation that occurs as the economy struggles to shake off the effects of the COVID-19 pandemic, according to the AP news agency and kcci.
The adjustment means an average of an additional $ 92 a month for the retired worker, according to estimates released on Wednesday by the Social Security Administration. That represents an abrupt break from a long hiatus in inflation that has caused cost-of-living adjustments to average just 1.65% annually for the past 10 years.
With the increase, the average estimated Social Security payment for a retired worker will be $ 1,657 a month next year. However, the benefits of a typical couple would increase by about $ 154 to $ 2,753 a month, they reported.
“They’re going pretty fast,” said retiree Cliff Rumsey of the cost-of-living increases he’s seen. After a career in sales for a major steelmaker, Rumsey lives near Hilton Head Island, South Carolina. He cares at home for his wife of almost 60 years, Judy, who has advanced Alzheimer’s.
WHO WOULD BENEFIT?
Since the coronavirus pandemic, Rumsey said she has noticed increases in food prices, the wages she pays to caregivers who occasionally help her, and personal care products for Judy, not to mention energy costs.
The cost of living adjustment will benefit the family budgets of about 1 in 5 Americans. That includes Social Security recipients, disabled veterans and federal retirees – nearly 70 million people in all. Filed Under: Social Security Benefits Will Go Up
Social Security benefits will go up: THE GREATEST INCREASE
For baby boomers who retired in the last 15 years, it will be the biggest increase they have ever seen. The coronavirus pandemic caused a crisis and stagnation of the economy and after more than a year, a slight rebound in activities is beginning to be seen.
“He will be welcome,” said analyst Mary Johnson of the nonpartisan advocacy group Senior Citizens League. “But what we are hearing is that even with the adjustment, purchasing power will continue to erode because price increases continue to rise.”
Social Security benefits will go up: THE HIGHEST
In response, Mary Johnson, Social Security and Medicare Policy Analyst at The Senior Citizens League, said the following: “This would be the highest COLA that most beneficiaries living today have seen.” Currently approximately 70 million people receive this benefit.
It was known that during this year, the adjustment was 1.3%, which meant an increase of approximately $ 20 per month for all retired workers in the United States, so this process is very important, especially due to the situation that originated the covid.
Social Security benefits will go up: BENEFITS
Given this, Nancy Altman, president of Social Security Works, an advocacy group, considered the following: “After decades of inadequate increases, the momentum of 2022 finally more equates the rising costs of beneficiaries”, when evaluating the issue.
He added: “But as big as it looks on paper, it’s not enough for seniors and people with disabilities on fixed incomes to make ends meet.” It should be noted that at least 40% of the beneficiaries require the checks that are delivered per month.
Today it was reported that the United States House of Representatives approved on Tuesday a short-term increase in the nation’s debt limit, ensuring that the government can continue to pay its bills until December and temporarily avoiding a default that would have wreaked havoc on the economy.
Last week, the Senate approved the $ 480 billion increase in the debt ceiling, in a vote by partisan blocs. The House of Representatives quickly passed it so that President Joe Biden can sign it into law this week. Filed Under: Social Security Benefits Will Go Up
Social Security benefits will go up: WARNING
The Secretary of the Treasury, Janet Yellen, had warned that this measure should be approved to avoid a default on the country’s debts by October 18, and that from that date the Treasury would not have the funds to meet financial obligations of the government.
A default would have serious repercussions on world financial markets that depend on the reliability of the US public debt. Routine federal government payments to Social Security recipients, disabled veterans, and active military would also be in question.
WILL BE TEMPORARY
However, the relief provided by passage of the measure will only be temporary, forcing Congress to re-evaluate the issue in December, when lawmakers will also be working to complete federal spending projects and avoid a damaging government shutdown.
The backlog by year-end puts both parties at risk and threatens a tumultuous close to Biden’s first year in office. “I’m glad this at least allows us to avoid a fully self-managed and avoidable economic catastrophe while working on a long-term plan,” said Democratic Rep. Jim McGovern. Filed Under: Social Security Benefits Will Go Up
Social Security benefits will go up: IT WILL NOT BE SIMPLE
Republicans noted that the upcoming debt limit debate will not be any easier and warned Democrats not to expect their help.
“Unless and until Democrats abandon their dream of a socialist America and interventionist government, Republicans cannot and will not support raising the debt limit,” said Republican Rep. Tom Cole. Filed Under: Social Security Benefits Will Go Up
President Joe Biden’s plan for a major expansion of social programs was originally “too big” to fail, according to his supporters. But it could be too big to describe too. It is one of the difficulties that the White House faces in convincing opinion of the benefits of a wide range of initiatives packaged under the imprecise “Rebuild Better.”
A series of crises, from Afghanistan to COVID-19, coupled with the labyrinthine legislative process, have prevented the White House from promoting the then $ 3.5 trillion package or even saying what it contains. The number will certainly decrease and possibly some of the components will undergo changes.