Why the Chained CPI is Wrong for Social Security

Yesterday, the President included Social Security cuts in his budget through a proposal called the “chained CPI”. Let’s take a minute and break down exactly what that means: The chained CPI would modify the way the cost-of-living-adjustment (COLA) for Social Security is calculated, cutting benefits by $127 billion dollars over the next 10 years alone. That comes out to over $2000 in lost benefits for the average senior. Some have tried to defend this unprecedented inclusion of Social Security benefit …

What’s the Reaction to Obama’s Social Security Proposal?

We knew it was coming. Still, now here, it’s causing quite a stir. President Obama’s new budget proposes a change in the formula for Social Security cost-of-living adjustments. Many Democrats are saying they disagree with their president. Many Republicans are saying they like the idea and want it implemented quickly. And advocates for older Americans are saying, “No way.” The proposed change, called the chained CPI, is a twist on the consumer price index, the formula that helps Social Security, veterans …

9 Things to Look for in the President’s Budget

The GOP-controlled House of Representatives approved a budget proposal first. Then came a very different document from the Democratic-controlled Senate. Now thousands more pages of numbers will land with a thud on Capitol Hill on April 10. It’s the president’s annual budget proposal. Unless you’re an underemployed CPA or an incurable policy wonk, you probably won’t want to wade through all that. So here’s a short checklist of what you should watch for in the budget: A chained CPI. This twist on …

Illinoisans Detest President Obama’s Chained CPI Budget Proposal

If Chained CPI is included in the President’s budget proposal, as is being reported today, President Obama is laying out a clear marker that he is willing to cut Social Security and other benefits to balance the budget, which breaks a promise he made when he was elected to office.  On September 6, 2008, Senator Barack Obama told AARP members: “John McCain’s campaign has suggested that the best answer for the growing pressures on Social Security might be to cut cost of …

Obama Ready to Propose Big Changes in Medicare, Social Security?

When President Obama’s budget arrives on Capitol Hill on April 10, lawmakers in the opposition party – in keeping with a time-honored Washington custom – are certain to immediately brand it “Dead on Arrival.” This year, however, Obama’s fellow Democrats may not be far behind. Obama is reportedly ready to propose some big changes in Medicare and Social Security – two programs that Democrats have traditionally gone to the mat to protect. As Salon’s Joan Walsh reports: “White House sources …

Obama’s Charm Offensive: Time-Tested Strategy

Maybe the most surprising thing about President Obama’s wining and dining of GOP lawmakers is the fact that it’s surprising. Socializing that crossed party boundaries once was the lubricant that greased political compromise in Washington. In recent years, though, lawmakers have been spending much more time back in their home districts, which means they have less time to get to know their colleagues in Washington. And the polarization of politics has led to less two-party partying. Obama drew lots of …