More than ever before, it is critical that seniors make their voices heard on Capitol Hill. In the past two years, countless proposals to cut Medicare and Social Security benefits have been backed by deficit hawks in Congress. Recent plans have called for lower cost-of-living adjustments, increased Medicare means testing, a higher retirement age, and even the phasing out of Medicare altogether. The stakes are high for seniors, and with a critical election just months away, every voice counts. The stacks of petitions that our members signed were delivered along with a personalized letter addressed to each Member of Congress. The letters expressed appreciation to those who have already signed on as supporters of the key issues. To those who have not, however, they conveyed a powerful and urgent message and served as a call to action. .The payraise goes into effect automatically unless denied by legislation, or adjusted by a provision of law that prevents Congress from receiving a percentage of pay increase that would be greater than any payraise received by the General Schedule to federal workers. When Congress passed legislation in December of 2010 that froze the pay of federal workers through December 31, 2012, they effectively froze their own pay as well. No similar provision of law, however, prevents Congress from receiving a bigger COLA than seniors. The adjustment for Congress is not determined like the COLA for seniors, which is based on changes in consumer prices. Instead the Congressional COLA is based on changes in private sector wages and salaries as measured by the Employment Cost Index. Members of Congress were originally scheduled to receive a pay adjustment in January 2010, of 2.1%, and in 2011 of 0.9% had legislation not prohibited it. .Some financial advisors say that there may be some tax advantages to taking money out now while valuations are lower. This information is not intended as investment advice. We strongly recommend that you contact the custodian of your 401(k) or your financial advisor and discuss a plan for your income needs and to explore potential sources of funds. .Second, the Social Security 2100 Act (H.R. 1902) gained one new cosponsor in Representative Jimmy Gomez (CA-34), bringing the cosponsor total to 16If signed into law, H.R. 1902 would strengthen Social Security benefits by improving the cost-of-living adjustment (COLA), increasing monthly benefits by 2 percent, creating a new Special Minimum Benefit equal to 125% of the poverty line, providing a tax cut to Social Security beneficiaries, applying the payroll tax to annual income over 0,000, and gradually increasing the payroll tax rate by 0.25%. ."TSCL's concern is not over taxes collected under valid Social Security numbers," Cates says. "Our concern is over the use of earnings under invalid or fraudulent Social Security numbers to determine benefits," he explains. Earnings reported under invalid numbers most often occur when noncitizens work without legal authorization. But due to a loophole in current law, Social Security uses all earnings to determine benefits, even those from jobs worked under invalid and fraudulent Social Security numbers. Social Security thus pays benefits for the rest of the individual's life that may be based at least in part, on work under invalid Social Security numbers. TSCL believes this policy rewards people for document fraud. .COLAs Going To Be Flat In 2014 .This week, the Senate Committee on Health, Education, Labor, and Pensions (HELP) held a hearing on rising prescription drug costs. In addition, The Senior Citizens League (TSCL) saw two key bills gain support in the House of Representatives. .Second, two new cosponsors – Representative Josh Harder (CA-10) and Representative Abby Finkenauer (IA-1) – signed on to the Social Security 2100 Act (H.R. 860), bringing the total up to 20This bill, if adopted, would comprehensively strengthen and reform the Social Security program. .This week, one new cosponsor – Rep. Steve Israel (NY-3) – signed on to the Consumer Price Index for Elderly Consumers (CPI-E) Act (H.R. 1030), bringing the cosponsor total up to twenty-four. If signed into law, H.R. 1030 would adopt the CPI-E for the purpose of calculating Social Security cost-of-living adjustments (COLAs). Currently, COLAs are based upon the way young, urban workers spend their money – a method that underestimates the spending inflation seniors experience. H.R. 1030 would address this issue, resulting in more fair and accurate COLAs for seniors.