President Barack Obama and House Speaker John Boehner are deep into negotiations on a fiscal cliff deal — and unfortunately, the hard-earned Social Security benefits of current retirees, veterans and workers with disabilities are on the table.
The chained CPI proposal is positioned as a ‘slight tweak’ to the Social Security cost-of-living-adjustment (COLA).
The problem is that for people who have paid into Social Security for decades, many of whom are barely scraping by with an average monthly income of under $1,300, the change isn’t so slight. It adds up to $112 billion over the next 10 years— money directly out of your pocket if you currently rely on Social Security as a source of income.
The new COLA calculation aims to account for ways consumers change their buying habits when prices change, such as choosing chicken instead of beef at the grocery store. This theory breaks down for seniors. That’s because a high percentage of their income goes to prescription drugs, utilities and health care costs that keep going up. And there are no lower-cost substitutes.
Join us in taking action now! Tell Washington no cuts to Social Security as part of a last-minute budget deal.
You’ve paid into Social Security and Medicare for years, and you deserve an open, thoughtful discussion about proposals to protect these programs for current retirees and strengthen them for our kids and grandkids.
Our current retirees, and our veterans and people with disabilities, deserve better than shortsighted changes crammed into an eleventh-hour budget deal before people have a chance to read the fine print.