Social Security, SSI recipients to receive 1.3 percent pay increase

Social Security, SSI recipients to receive 1.3 percent pay increase

Social Security checks in 2020 are nearly 20 percent lower than they otherwise would be, due to the long term impact of extremely low annual inflation adjustments, according to a new analysis from The Senior Citizens League (TSCL).

The Social Security Administration (SSA) just announced a slight year-over-year rise in monthly benefits for Social Security and Supplemental Security Income (SSI) recipients.

Social Security beneficiaries on Medicare, will not know their new amount until after the 2021 Medicare premiums are announced. That is the smallest cost-of-living adjustment (COLA) since 2017 - but consider that, earlier this year, thanks to pandemic-induced price gyrations - retirees were looking at the prospect of no 2021 increase at all. That amount generally increases, so at least some of any additional Social Security raise goes to health care premiums. Couples will see $1,191 per month next year, up from $1,175.

Social Security checks account for about one-third of my family income. Social security would be taxing the total wages in 2021 up to $142,800 which is quite a leap from $137,700 in 2020. That prompted Congress to pass recent election-year legislation that limits next year's premium increase but gradually collects the full amount later on under a repayment mechanism.

Conchata Ferrell, 'Two and a Half Men' actress, dies at 77
Law" in 1992 and earned two others for her role on " Two and a Half Men ", on which she played salty and sassy housekeeper Berta. Her husband Arnie came to every single taping of Two And A Half Men and sat in the audience, beaming with pride.

The October 13 announcement of the 1.3% hike in benefits is in line with what most Social Security watchers expected. The Medicare Part B premium of those individuals is reduced to prevent their net Social Security benefits from being lower than the year before.

The group favors an "emergency" COLA of 3% for 2021 and automatic boosts each year at that level, or the use of other formulas such as the Consumer Price Index for the Elderly. Social Security beneficiaries saw a 1.6% adjustment for 2019 and 2.8% in 2018.

"COLAs have never remained so low, for such an extended period of time, in the history of Social Security", Johnson said in a statement.

Related Articles