Another estimate on the 2023 COLA increase - 401K Specialist
The U.S. Bureau of Labor Statistics reported the Consumer Price Index for All Urban Consumers (CPI-U) rose 0.1 percent in August. So, what does that mean to Social Security recipients? Mary Johnson of The Senior Citizens League has updated her estimates for the 2023 cost-of-living adjustment. Ms. Johnson’s estimate is down nearly one percent to 8.7 percent COLA for 2023. Brian Anderson reports why the forecasted COLA increase has gone from 7.6 percent in March and April to a high of 10.5 percent in July before declining to 8.7 percent in September. Read Mr. Anderson’s article here…
Notice: The link provided above connects readers to the full content of the posted article. The URL (internet address) for this link is valid on the posted date; socialsecurityreport.org cannot guarantee the duration of the link’s validity. Also, the opinions expressed in these postings are the viewpoints of the original source and are not explicitly endorsed by AMAC, Inc.; the AMAC Foundation, Inc.; or socialsecurityreport.org.
I’d rather the politicians keep their dirty grabby hands off of our money. Let the SS fund keep its $$$
Alex:
Thank you for your comment and for expressing your concern. Unfortunately, you are referring to a persistent myth that suggests political forces have used Social Security funds (many use the term “stolen” to characterize this belief) for purposes other than the program’s designated purpose. We have researched this matter extensively, and can attest to the fact that every dollar ever received by Social Security (payroll tax revenue, interest on reserves, and federal income tax on benefits) is actually accounted for. In fact, since for many years the program operated at a surplus, with more coming in than going out, Social Security was able to build up a cash reserve in its trust fund of nearly $3 trillion. In 2021, though, this trend reversed, and Social Security is now paying out more than it’s taking in, using the trust fund balance to make up the difference.
Annually, the Social Security trustees report to Congress on the status of the program, providing a detailed accounting of cash flow. These reports are available for review on the SSA website. But in addition to accounting for the funds, the trustee’s reports also include a warning that the trust fund balances will only allow the program to run at a deficit until the 2030s, at which point they will be fully depleted and benefits will need to be cut. This, of course, can be prevented by Congressional action to modernize the program and bring it into alignment with 21st-century demographics.
As a concerned citizen, we encourage you to contact your Congressional representatives and demand that they take action to correct Social Security’s long-term funding problem. There are suggested approaches on the table, but it takes political will to attack the problem. AMAC has developed a solution…AMAC’s Social Security Guarantee (www.Amac.us/social-security) that is one such approach…one that would preserve the system without necessitating tax increases.
Thanks again for your comment. If you’d like to discuss this further, feel free to give our Social Security advisory Service a call at 888-750-2622.
Gerry Hafer, Social Security Advisor
AMAC Foundation, Inc.
CONFIDENTIALITY NOTICE: The contents of this message, including any attachments, are confidential and are intended solely for the use of the person or entity to whom the message was addressed. If you are not the intended recipient of this message, please be advised that any dissemination, distribution, forwarding, printing, copying, or use of the contents of this message, and any attached documentation, is strictly prohibited. If you received this message in error, please notify the sender. Please also permanently delete all copies of the original message and any attached documentation. The opinions and interpretations expressed in this message are the viewpoints of the message’s author, a trained advisor accredited under the National Social Security Advisors program of the National Social Security Association, LLC (NSSA). The author, the NSSA, and the AMAC Foundation are not affiliated with or endorsed by the United States Government, the Social Security Administration, or any other state government.