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Social security increase 20215/30/2023 Martin Feuer, 71, a retired senior compliance professional on Long Island, said he welcomed the increased benefits, especially after years of adjustment increases hovering around 1 to 2 percent. “I can’t even look at a steak,” she said. (Gas there is about $4.50 a gallon, and California prices tend to be a dollar higher than the national average.) At the grocery store, meat and produce have become more expensive, she said. It now costs about $95 to fill up her car’s gas tank six months ago, she said, she paid $60. Dominguez said she had noticed a spike in prices since the pandemic’s start. Although she retired from her job as a procurement manager in 2009, she now works three part-time jobs to keep up with her bills. The benefits make up about 75 percent of her monthly income, she said. Altman said.Ĭecilia Dominguez, who is 68 and lives in Los Angeles, said the increased benefits would help her pay for her mortgage, groceries and gas expenses. “You’re glad that you get a 5.9 percent increase, but it doesn’t feel like you’re getting 5.9 percent when all of your other costs are going up much higher,” Ms. Nancy Altman, the president of Social Security Works, an advocacy group, said that she welcomed the increase, but that it was not enough for seniors to cover the rising costs of health care and prescription drugs. “The guaranteed benefits provided by Social Security and the COLA increase are more crucial than ever as millions of Americans continue to face the health and economic impacts of the pandemic,” Ms. Jo Ann Jenkins, chief executive officer of AARP, said the increase was necessary for families and beneficiaries to keep up. Nearly nine out of 10 people age 65 and older were receiving a benefit as of the end of last year. Premiums for Medicare Part B, which covers doctors’ visits and outpatient care, are deducted from Social Security checks. Although some said they welcomed the increased benefit, they also worried that it might not be enough to offset inflation and the rising cost of Medicare. Older Americans, people with disabilities, and children and spouses of deceased recipients depend on the benefits to afford essentials including food, housing and utility bills. And 12 percent of men and 15 percent of women rely on the checks for at least 90 percent of their income. The maximum amount of a worker’s earnings subject to the Social Security tax will also increase, to $147,000 from $142,800, the administration said.įor many people who receive Social Security, the monthly check represents a significant portion of their annual income: Among the beneficiaries, 37 percent of men and 42 percent of women receive at least half of their income from Social Security, according to an administration fact sheet. Housing prices firmed, and food - especially meat and eggs - cost consumers more. More recently, shortages of products and supply-chain challenges have added to the gains.Ĭonsumer Price Index data released on Wednesday showed that prices jumped more than expected last month. Early on, the price gains were fueled by rebounding airfares, restaurant meals and other items whose demand collapsed in 2020. Inflation has accelerated this year as the global economy recovers from pandemic-driven lockdowns. It is tied to the Labor Department’s Consumer Price Index, which rose 5.4 percent in September from a year earlier. The adjustment is a response to consumer prices in the United States that have jumped at their fastest pace in years. The average benefit - 70 million Americans receive them - would climb to $1,657 a month, up $92 from this year. The increase, known as a cost of living adjustment, is the largest since 1982, when the adjustment was 7.4 percent, according to data from the administration. It is the biggest boost in 40 years as prices for food, cars and rent keep climbing. Benefits from Social Security, which tens of millions of retired Americans rely on to pay their bills, will increase by 5.9 percent in 2022, the Social Security Administration said on Wednesday.
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