Navigation Links
Newly Released 2009 COLA Forecast Would Keep Five Million Seniors Below Poverty Line
Date:2/14/2008

2.8 Percent Increase Would Raise Average Benefit Just $30.20 Per Month During Economic Downturn

WASHINGTON, Feb. 14 /PRNewswire-USNewswire/ -- Late last month, the Congressional Budget Office published a little-noticed estimate that forecasts seniors will receive just a 2.8 percent increase in their Social Security checks beginning in January, 2009.

Despite the increase, at least five million people aged 65 and over will remain in poverty, since senior costs are rising significantly faster than the annual Social Security Cost of Living Adjustment (COLA).

Between 2001 and 2008, Medicare Part B premiums have soared by more than 93 percent while the COLA has crept up just 19 percent, leaving many seniors on their own to cover all other rising costs. Part B premiums cover doctors' visits, tests, and outpatient hospital care.

Although the COLA is intended to help seniors keep up with inflation, a recent study by The Senior Citizens League (TSCL) that analyzed eight key expenditures found that people 65 and over have lost 40 percent of their buying power since 2000. Expenses such as home heating oil and gasoline have more than doubled since the beginning of the decade, while food staples such as potatoes and butter have increased by 47 and 39 percent, respectively.

A majority of the 48 million Americans aged 65 and over who receive a Social Security check depend on it for at least 50 percent of their total income, and one in three beneficiaries relies on it for 90 percent or more of their total income.

"Social Security is supposed to protect seniors in need -- but with five million seniors below the poverty line, it's clear the system is failing them," said Shannon Benton, executive director of The Senior Citizens League. "If it's true that a nation's greatness is defined by how well it treats its most vulnerable citizens, then we must do a better job of protecting impoverished seniors."

To help offset the cost of Medicare Part B, TSCL is lobbying for a change in the Consumer Price Index (CPI) used to determine the COLA. The government currently calculates the COLA based on the CPI for Urban Wage Earners and Clerical Workers (CPI-W), a slow-rising index that tracks the spending habits of younger workers who don't spend as much of their income on health expenditures.

However, the government also tracks the spending patterns of older Americans with the CPI for Elderly Consumers, or CPI-E. By tying the annual increase in the COLA to the CPI-E, seniors would see much needed relief in their monthly checks.

For example, a senior who retired with a benefit of $460 in 1984 would have received almost $11,200 more over the past 24 years with the CPI-E.

TSCL supports two similar bills in the current Congress, H.R. 1953 and H.R. 2032, entitled "The Consumer Price Index for Elderly Consumers."

With 1.2 million supporters, The Senior Citizens League (http://www.SeniorsLeague.org) is one of the nation's largest nonpartisan seniors groups. The Senior Citizens League is a proud affiliate of The Retired Enlisted Association.


'/>"/>
SOURCE The Senior Citizens League
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. Anxiety linked to newly diagnosed DCIS patients overestimation of breast cancer risks
2. Newly Published Study Demonstrates Return on Investment for Employee Wellness Program
3. Newly discovered virus linked to deadly skin cancer
4. Antibody Engineering Company f-star Appoints Three Pioneers in Antibody Engineering and Development to its Newly Established Scientific Advisory Board
5. New therapeutic options for newly diagnosed multiple myeloma patients
6. Thalidomide Added to Standard Therapy Prolongs Overall Survival in Newly Diagnosed Multiple Myeloma Patients Over Age 75
7. Newly HIV-Infected Gay Men Select Other Infected Partners
8. Striking shift seen among newly HIV-infected men regarding partners
9. Hidden Costs Plague Owners Occupying Newly Constructed Buildings; New Program Can Help Avoid Major Issues
10. Corrected & Replaced - Natural Nutrition Expands Revenue Capabilities with Newly Installed State of the Art Nutrition Bar Line
11. Natural Nutrition Expands Revenue Capabilities with Newly Installed State of the Art Nutrition Bar Line
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:10/13/2017)... NJ (PRWEB) , ... October 13, 2017 , ... Global ... at scenic Alexandria Park in Milford, NJ. This free event, sponsored by Global ... physical activity. The fun run is geared towards children of all ages; it ...
(Date:10/13/2017)... ... October 13, 2017 , ... Coveros, a leader in agile ... a contract by the Center for Medicare and Medicaid Services (CMS). The Enterprise ... use of Agile methodologies in a consistent and high value manner across CMS ...
(Date:10/12/2017)... Del. (PRWEB) , ... October 12, 2017 , ... ... and advisory services for healthcare compliance program management, will showcase a range of ... National Association for Assisted Living (NCAL) Convention and Expo to be held October ...
(Date:10/12/2017)... ... October 12, 2017 , ... ... the demand of today’s consumer and regulatory authorities worldwide. From Children’s to Adults ... tested to meet the highest standard. , These products are also: Gluten ...
(Date:10/12/2017)... ... ... Asante, a nationally recognized health system in southern Oregon, ... health joint venture through an agreement, effective October 1, 2017, to create AccentCare ... company with Asante, delivering clinically integrated care, for the past eight years. This ...
Breaking Medicine News(10 mins):
(Date:10/5/2017)... 2017  In response to the nationwide opioid ... Surgeons (AAOMS) released prescribing recommendations that urge ibuprofen ... as a first-line therapy to manage a patient,s ... Recognizing the value and importance of ... Prescribing: Acute and Postoperative Pain Management" stresses that ...
(Date:10/4/2017)... WESTWOOD, Mass. , Oct. 4, 2017  According to the Centers ... by the end of October . PhysicianOne Urgent Care is helping communities ... Westchester, NY , by offering no-cost* flu shots through ... , as mandated by certain health insurance regulations. ... The best time to get a flu shot is by ...
(Date:10/2/2017)... 2017 Diplomat Pharmacy, Inc. (NYSE: ... Consulting, LLC , and named its founder as Diplomat,s ... Tennessee , will operate under Diplomat ... service offerings for health care partners to include IT ... "In an interoperable world, technology delivers comprehensive ...
Breaking Medicine Technology: