4. COLAs may be calculated differently
Are you a Social Security recipient? Then get ready for a 1.3 percent increase in 2021. The Cost-Of-Living Adjustment percentage is based on the Consumer Price Index for Urban Wage Earners and Clerical Workers. There’s a “tiny” problem. The index is actually based on the household’s costs with at least 1 working person.
Most retired families don’t have a worker, meaning that many seniors are excluded. However, a substitute of the CPI-W (the Consumer Price Index for the Elderly, a.k.a. CPI-E) was mentioned by the Bureau of Labor Statistics in which they want to weigh the costs of living of retirees. But will they? If so, will it make any difference?
According to the Social Security Administration, you may get a COLA notice at the end of the year in “my Social Security” account.
P.S.: No matter what 2021 may hold for you and your family, health is above all things, so we hope you, your family, and friends are all healthy and ready to face another scary year.
1 thought on “Social Security Projections to Add to Your List of Worries”
How about government pensions? What will happen to them? Probably nothing as they are the elite. However, I believe it is time for the government to honor all of those IOU’s that were generated back in 1964 when LBJ decided to sell them to SS. Fat chance. Technically, SS is just part of the general fund. It is part of the overall budget and,as such, is not required to be funded by contributions from current payroll taxes.
People who paid into it for their entire working life deserve to collect it with interest when they retire. It was not intended to be s slush fund even though corrupt politicians treated it that way. Enough is enough. Democrats, own up and do the right thing. Stop ripping off honest, hard working americans.