Five Million Seniors Remain in Poverty Despite Today's 2008 Social Security Cost of Living Adjustmen

[Omaha Steve]

http://www.earthtimes.org/articles/show/news_press_release,200931.shtml


WASHINGTON, Oct. 17 /PRNewswire-USNewswire/ -- Earlier this morning, the Social Security Administration announced that seniors will receive an additional 2.3 percent in their Social Security checks beginning in January, 2008. That represents the lowest increase in four years.

But despite the increase, at least five million people aged 65 and over will remain in poverty, since costs are rising significantly faster than the annual Social Security Cost of Living Adjustment (COLA).

Between 2001 and 2008, Medicare Part B premiums will have soared by more than 93 percent while the COLA will have crept up just 19 percent, leaving many seniors on their own to cover all other rising costs. Part B premiums cover doctors' visits, tests, and outpatient hospital care.

Although the COLA is intended to help seniors keep up with inflation, a recent study by The Senior Citizens League (TSCL) that analyzed eight key expenditures found that people 65 and over have lost 40 percent of their buying power since 2000. Expenses such as home heating oil and gasoline have more than doubled since the beginning of the decade, while food staples such as potatoes and butter have increased by 47 and 39 percent, respectively.

A majority of the 48 million Americans aged 65 and over who receive a Social Security check depend on it for at least 50 percent of their total income, and one in three beneficiaries relies on it for 90 percent or more of their total income.

FULL story at link.

[theoldman]

1. The increase in SS does not come close to the rate of

inflation. Our government uses a strange method to come up with the rate of inflation. It is not the same in the real world where the inflation rate is much higher.

[nosmokes]

2. Only 5 million? Seems low to me.

I don't have any figure at my fingertips but I did hear on Democracy Now I think that the COLA raise will average about $20 per recipient. That's five bucks a week which isn't even enough to really get a decent meal out.I don't think we'll be seeing too many seniors throwing a party. Thanks for the post Steve.

[shraby]

3. That isn't all..about every time social security gives a

nominal raise, they take it away with a higher raise in the premiums for Medicare, so actually the recipients most times have a lower check.

[Sal Minella]

4. That's right -- Medicare premium takes about 12% of every monthly check, IIRC

[Paineinthebut]

5. SSDI so-called COLA monthly amount per claim PROCESS is Un-Constitutional !!??

We paid in to SSDI based on income, so upon Disability we are paid a Base SSDI benefit based on that. It IS un-Constitutional to give an SSDI yearly raise based on a %percent of the base, - because then every year the higher amounts of the Base would out-weigh the lower Base amounts ever more unfairly. - To be non Discriminatory, the yearly so-called COLA should be Equal for all SSDI recipients, - or Multiply the COLA PER-CENTAGE of the "Average' of All SSDI amounts so each claimant gets the same yearly increase!! For example, if the overall average of ALL SSDI monthly amounts is $900, and the laughable COLA is very low, like 6%, then All SSDI benefits would increase by $54 per month. - That would be Constitutional. Many of us are being mistreated / grossly underpaid, and many are being over-paid. After all many paid in more to get Their initial BASE SSDI amount SET, but not the yearly increase amount. The way it is done now IS illegal and the higher recipients will consistantly increase over the lower paid claimants. This is definitly wrong, and the U.S. Supreme Court should investigate this travesty!! Why has this not been covered before. This violations of Equal and Civil Rights is based on Constitutional Law. The yearly COLA SHOULD NOT be unequal per claimant. - The higher Base amounts to Begin with were based on salary and pay-in. When Disabled the pay does not increase,- it has Already been set at time of initial start of the SSDI claim award!! Talk about unfair and a violation of Justice and RIGHTS!! - Joe Ward (disability advocate)

[cuke]

6. And with all that poverty. * had the Medicaid look back increased from 3 to 5 years

Those 2 extra years may result in my eventual homelessness.