The 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.
The annual Social Security cost-of-living adjustment (COLA) is critically important to the financial security of the nearly 58 million Americans receiving benefits. By providing protection against inflation, the COLA helps beneficiaries of all ages maintain their standard of living, keeping many from falling into poverty. The COLA announced today is vital to millions, but at an average of just $19 per month, it will quickly be consumed by the rising costs of basic needs such as food, utilities and health care.
One fiscal crisis is winding down, but another round of budget negotiations looms. And that could mean Social Security and Medicare cuts will again be part of the conversation.
It's news these days that the President has dinner with members of Congress. Had President Obama enjoyed more meals or even an occasional beverage with some members of Congress in both parties, he might have found out that putting the Chained CPI in his budget could derail his entire legislative agenda because of the passions roused in both Democrats and Republicans against the proposal.
It's not only politicians who have mixed reactions to a different way of calculating cost-of-living adjustments to Social Security benefits. Newspaper editorial writers and columnists are conflicted, too.
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