Working Poor

unhappycamper

(60,364 posts) Mon Oct 12, 2015, 06:53 AM Oct 2015

Lower gas prices means no Social Security increase next year

http://www.bostonherald.com/business/business_markets/2015/10/lower_gas_prices_means_no_social_security_increase_next_year

Lower gas prices means no Social Security increase next year
Sunday, October 11, 2015
Associated Press

WASHINGTON — For just the third time in 40 years, millions of Social Security recipients, disabled veterans and federal retirees can expect no increase in benefits next year, unwelcome news for more than one-fifth of the nation's population.

They can blame low gas prices.

By law, the annual cost-of-living adjustment, or COLA, is based on a government measure of inflation, which is being dragged down by lower prices at the pump.

The government is scheduled to announce the COLA — or lack of one — on Thursday, when it releases the Consumer Price Index for September. Inflation has been so low this year that economists say there is little chance the September numbers will produce a benefit increase for next year.

5 replies

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Lower gas prices means no Social Security increase next year (Original Post) unhappycamper Oct 2015 OP

But the cost of food, insurance, medicine Art_from_Ark Oct 2015 #1

Interesting, isn't it? Seniors as a whole probably use less snappyturtle Oct 2015 #2

I might, and might is the key word, be okay with this if NV Whino Oct 2015 #3

I lived on SS survivors benefits as a child Melurkyoulongtime Oct 2015 #4

My mother is pissed about this. ladyVet Oct 2015 #5

Art_from_Ark

(27,247 posts)

1. But the cost of food, insurance, medicine

Reply to unhappycamper (Original post)

Mon Oct 12, 2015, 07:15 AM

Oct 2015

keeps on rising

snappyturtle

(14,656 posts)

2. Interesting, isn't it? Seniors as a whole probably use less

Reply to unhappycamper (Original post)

Mon Oct 12, 2015, 07:45 AM

Oct 2015

gasoline than young families and daily commuters. Just a guess.

What isn't a guess is that we pay "about" the same for a box, e.g., of
cereal, as we have been ONLY it has less product in the box. Smells
like inflation to me.

If they threw out gasoline as they could in figuring Core inflation, we
might have a better indicator of true inflation.

Bottom line, in my humble opinion, is that tptb can manipulate the
numbers many ways to achieve their objective.

NV Whino

(20,886 posts)

3. I might, and might is the key word, be okay with this if

Reply to unhappycamper (Original post)

Mon Oct 12, 2015, 08:20 AM

Oct 2015

If my Medicare and supplemental insurance didn't go up. Each year, even if my s/s is increased, I bring in about $20 less due to the other rising costs. And being low income most of my life has left me with an absolute pittance in Social Security to start with.

It's a losing battle.

Melurkyoulongtime

(136 posts)

4. I lived on SS survivors benefits as a child

Reply to unhappycamper (Original post)

Mon Oct 12, 2015, 10:31 AM

Oct 2015

There should be at least a small increase EVERY year, IMHO. The average payment is only $1328/month as of January 2015 per ssa.gov. Sheesh!

ladyVet

(1,587 posts)

5. My mother is pissed about this.

Reply to unhappycamper (Original post)

Mon Oct 12, 2015, 10:46 AM

Oct 2015

My father just retired, so he won't be adding to his account anymore, and with not having insurance through his work, they're paying a lot to cover all the stuff Medicare won't. Still, they only have utilities and food to pay for now, since their land just got paid off and no more car loan.

I think they're a lot better off than some, since my father working so long really upped his monthly payment. Even with their medical conditions, they hardly go to the doctor now, and Daddy's big medication need is covered through the pharma company, thanks to his doctor.

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