Friday, November 09, 2012

Oh Well!

Funny how they always cut Social Security, but cutting welfare is a non-no!
"As you know, on October 16, 2012, the Social Security Administration announced that beneficiaries would receive only a 1.7% increase in 2013, the sixth-lowest increase since automatic cost of living adjustments (COLAs) began over 35 years ago. If Congress had already adopted CCPI, the 2013 COLA would be even less, at only 1.4%. However, adopting a chained consumer price index to calculate Social Security COLAs is not a small benefit change - it will compound benefit reductions dramatically over time, resulting in an annual benefit that is roughly $1,000 (2012 dollars) lower by the time a beneficiary reaches age 85. As a result, according to AARP Public Policy Institute's new report Proposed Changes to Social Security's Cost-of-Living Adjustment: What Would They Mean for Beneficiaries?, 'the CCPI will produce the largest benefit cuts during the time when older Americans need more resources to pay for increasing out-of-pocket medical costs, are most dependent on Social Security benefits, and are at the greatest risk of poverty.'"

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