As costs of daily goods and services rise, Social Security recipients could see a slight bump to mitigate the impact on their wallets.
It’s not uncommon for Social Security and Supplemental Security Income beneficiaries to receive a cost-of-living adjustment each year. Having a COLA ensures that rising costs don’t impact the purchasing power of their benefits.
As BLACK ENTERPRISE previously reported, an estimated 75 million Social Security and Supplemental Security Income recipients received a 2.8% cost-of-living adjustment earlier this year. Most beneficiaries received an additional $56 per month. The last increase came as two-thirds of Americans (67%) reported living paycheck to paycheck, according to PNC’s Financial Wellness in the Workplace Report.
According to a report from eMarketer, the biggest hurdle is that wages are simply not keeping up with the cost of living.
Concerns With Social Security Increase
Seniors, however, are likely to resist this plan because it will result in a cut for some Americans. TSCL’s research finds that 95% of seniors oppose benefits cuts for current retirees, while 66% oppose cuts for future retirees.
Source: Black Enterprise
