Social Security’s scheduled cost of living increase ‘won’t make a dent’ for some retirees

[mystery-ak]

Social Security’s scheduled cost of living increase ‘won’t make a dent’ for some retirees

AP 9 Oct 2024

Social Security recipients are expected to receive a smaller cost-of-living increase in January than in recent years as inflation moderates

Social Security’s scheduled cost of living increase ‘won’t make a dent’ for some retireesBy FATIMA HUSSEINAssociated PressThe Associated PressWASHINGTON

WASHINGTON (AP) — Sherri Myers, an 82-year-old resident of Pensacola City, Florida, says the Social Security cost-of-living increase she’ll receive in January “won’t make a dent” in helping her meet her day-to-day expenses.

“Inflation has eaten up my savings,” she said. “I don’t have anything to fall back on — the cushion is gone.” So even with the anticipated increase she’s looking for work to supplement her retirement income, which consists of a small pension and her Social Security benefits.

About 70.6 million Social Security recipients are expected to receive a smaller cost of living increase for 2025 than in recent years, as inflation has moderated. The Social Security Administration makes the official COLA announcement Thursday, and analysts predicted in advance it would be 2.5% for 2025. Recipients received a 3.2% increase in their benefits in 2024, after a historically large 8.7% benefit increase in 2023, brought on by record 40-year-high inflation.

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https://www.breitbart.com/news/social-securitys-scheduled-cost-of-living-increase-wont-make-a-dent-for-some-retirees/

[Smokin Joe]

Will it keep up with the increase in Medicare part B?

I'm pretty sure there will be one.

Drug plan is going up nearly 10% (private, no part D here), not sure about the rest.

[berdie]

Will it keep up with the increase in Medicare part B?

I'm pretty sure there will be one.

Drug plan is going up nearly 10% (private, no part D here), not sure about the rest.

That's what I'm waiting to hear. You know the Part B premium will increase.

My Part D went from $10 a month to$45. I'm still waiting for them to post their new formulary to see if they have messed with my blood pressure meds. Likely, I'll need those meds, lol.

I figure the SS increase will just cover the insurance/Medicare increase. Still I feel blessed. I know people that will suffer.

[The_Reader_David]

Great, two economic illiterates!  Harris, unlike the core of the Blairites never learned the truth of Thatcher's dictum about running out of other peoples' money -- there's not enough money from billionaires and corporations to be had do to the job -- and Trump rules out the one thing that in the long run would make Social Security solvent, raising the age to collect to just over the average life-expectancy, the way it was when the program started (average life expectancy was 64 when the age to collect was set to 65).  The reset should be for people entering the job-market now, with a gradation to when people reaching retirement expected to be able to collect so as to keep faith with those who had been paying the payroll tax all their working lives.

[libertybele]

I haven't looked it up, but I wonder what the COLA increase is vs. real inflation?  Of course the increase isn't going to make a dent.

We have the usual forced Medicare and then private health insurance as secondary.  Both continue to go up.  So with the rising costs of health care (and as we age we can't afford to be without it) along with everything else ... that SS increase won't do diddley squat!

[Smokin Joe]

I haven't looked it up, but I wonder what the COLA increase is vs. real inflation?  Of course the increase isn't going to make a dent.

We have the usual forced Medicare and then private health insurance as secondary.  Both continue to go up.  So with the rising costs of health care (and as we age we can't afford to be without it) along with everything else ... that SS increase won't do diddley squat!

Exactly. If we're lucky, the "COLA" will keep pace with the increase in insurance costs. Medicare Part B, while only part of the expenses a retiree has, are expected to go up 5.9% to $185 for 2025. That is a $10.30 increase over the previous year's monthly payments, or $123.60 over the year.  That will 'eat' the 2.5% COLA for the first $400.00 of the monthly benefits received.

[mystery-ak]

How much will Medicare Part B premium be in 2025?

In the meantime, reliable sources project that the Part B premium will increase. As estimated, Medicare beneficiaries would see a projected 5.9% increase in their standard premium for 2025, moving from $174.70 this year to an estimated $185 next year, per the report. Certain projections extend beyond next year.

so much for the measly 2.5 increase.