Will the Annual COLA Increase Ever Be Enough? - Nasdaq.com
All Social Security recipients received a historically high 8.7% Cost of Living Adjustment (COLA) for 2023, yet a recent survey found that over half felt that wasn’t enough. And this year’s 3.2% COLA will likely receive the same reception from those receiving it. Fact is, largely because of the way COLA is calculated, it’s near impossible for COLA to get ahead of the inflationary prices we have all been paying. COLA is historically high because inflation has driven consumer prices up, so higher prices have been affecting us all long before we started receiving our higher Social Security payments. Catch up, it seems, is simply impossible. This article by Motley Fool’s Maurie Backman appears at Nasdaq.com and discusses the dilemma seniors find themselves in these days – COLA insufficient to offset the higher prices we’re paying for everything we buy, emphasizing the importance of our retirement savings. Click here to read more.