chained consumer price index

Obama Budget Said to Drop ‘Chained CPI’

Posted on 02/20/2014 by | Senior Editor, Money Team | Comments

Money & SavingsThe White House says it is dropping a proposal that would have lowered the cost-of–living adjustments for Social Security and other government social programs, according to published reports. President Barack Obama had previously proposed tying inflation adjustments to the so-called chained CPI, which measures inflation more conservatively, in exchange for tax increases. Republican lawmakers, who have backed the chained CPI,  didn’t go along with the deal. Politico reported a White House official saying: “Over the course of last year, Republicans …

What Washington Politicians Really Mean When They Talk About Our Benefits

Posted on 02/14/2013 by | AARP Media Relations Team | Comments

Money & Savings | PoliticsThis originally appeared at The Huffington Post. This week before the President’s State of the Union address, White House Press Secretary Jay Carney said that the President won’t advocate for raising the age of Medicare beneficiaries but that he’s absolutely willing to cut our Social Security benefits.  Carney’s tune dramatically changed the narrative from the 2012 campaign by saying said that the President wouldn’t “ask seniors to bear the burden of further deficit reduction alone.”  During the 2012 election candidates …

Where Obama Stands on a COLA Change for Social Security

Posted on 02/11/2013 by | News | Comments

Bulletin Today | PoliticsWondering about President Obama’s position on slowing growth in Social Security benefits? It was made very clear during today’s White House press briefing. Asked whether the president is open to raising the eligibility age for Medicare as part of a budget deal, Press Secretary Jay Carney said absolutely not. Then the subject changed to the so-called chained CPI. The proposed change for calculating cost-of-living adjustments for Social Security and veterans benefits faces strong opposition from AARP and veterans groups. Here’s …

5 Reasons Chained CPI Is Bad For Social Security

Posted on 02/11/2013 by | AARP Blog Author | Comments

PoliticsDavid Certner is the Legislative Counsel and Director of Legislative Policy for Government Affairs at AARP. Congress and the Administration are considering, as a means of deficit reduction, a legislative change to the consumer price index – the so-called “chained CPI.” This change would have a particularly negative impact on Social Security benefits – here’s why: 1. Chained CPI compounds over time.  As a result of a chained CPI, there will be a 0.3% annual cut in Social Security cost …

Unlikely Allies Against a COLA Change for Social Security

Posted on 02/5/2013 by | News | Comments

Bulletin Today | PoliticsDavid Certner, AARP legislative policy director, and Andrew G. Biggs, a resident scholar at the American Enterprise Institute for Public Policy Research, are both against a proposed change in the formula that’s used to calculate Social Security cost-of-living adjustments. That Certner and Biggs would find common ground is surprising, considering how often AARP and the AEI, a Washington, D.C., think tank, are at odds on policy issues. How surprising? Here’s Biggs’ opening remark at their moderated discussion on the issue: …