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  • Are Deeper Cuts Coming How Much Would You Lose

    The age. Q & 038; January 2021 Can I Work and Receive Social Security Benefits at the Same Time? .The revenues from taxation of benefits are earmarked for funding Social Security and Medicare benefits. "Those revenues take on added importance for the 2020 tax year, as the coronavirus takes a significant toll on Social Security and Medicare payroll tax revenues," Johnson says. .The pharmaceutical industry warns the move could damage its profits and take away incentives to invent new treatments. … Continued

  • Legislative Update For Week Ending May 6 2016

    "Another factor affecting retirement income is the amount of the initial Social Security benefit when one first retires. Social Security benefits are not growing as quickly as in in previous decades," Johnson says. This is particularly true for middle to lower earning workers due to the slow growth in real wages over decades. According to a report by the Congressional Research Service, between 1979 to 2018, real wages have grown for top earners, but have stagnated or fallen for middle to lower earners. "That is reflected in the (often disappointing) initial Social Security benefits of new retirees," Johnson says. .This week, the Senate returned from break and President Barack Obama delivered the State of the Union address. New co-sponsors were also added to a pair of Social Security bills, and negotiations continue on how to fund the "doc fix." .While Part D and Medicare Advantage have proven popular with seniors, nobody is lining up at the doors during the fall Open Enrollment to shop for and compare plans. The vast majority of beneficiaries, more than 80% according to TSCL Senior Surveys, don't compare their Part D or Medicare Advantage plan, and consequently don't reap any savings from competition between plans. If Congress were to convert all of Medicare to premium support in the future, the devil will be in the funding details — finding the balance between saving the federal government money while still keeping the program affordable for beneficiaries. And so far premium support hasn't been any magic bullet for reducing federal spending on Medicare. … Continued

That's because COLAs are currently based upon the way young, urban workers, rather than seniors spend their money. The Bureau of Labor Statistics (BLS) uses an inflation index called the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). It regularly underestimates the spending inflation that seniors experience since it fails to capture the rising costs of medical care, upon which older Americans spend a disproportionate share of their income. .The Social Security Administration recently announced that the annual cost-of-living adjustment (COLA) will raise benefits by 2.8% for 201The average retirement benefit of ,400 will increase by .20 per month, to ,439.20. The Medicare Part B premium increase for 2019 will be 5.50 per month — just .50 per month more than the 4 in 201The COLA, the highest in 7 years, and a low Medicare Part B premium increase, should mean most retirees can finally expect a modest boost in net Social Security benefits. .If signed into law, H.R. 1716 would prohibit unauthorized workers from receiving Social Security benefits based on work done while in the country illegally, using stolen, fake, or fraudulent Social Security numbers. TSCL was pleased to see support grow for H.R. 1716 this week, and we will continue to advocate for it on Capitol Hill in the coming months, since we feel strongly that protecting the integrity of the Social Security program is of utmost importance. .According to the president and CEO of the Federation of American Hospitals, "The bill throws a lifeline to caregivers by continuing the pause in the 2% Medicare sequester, and making adjustments to buffer the impact of an ill-conceived change in physician payments during a pandemic." .Can You Tell Me How Recent Law Changes Affect RMDs From My 401(k)? .How much would your Social Security cost-of-living adjustment (COLA) be worth if it was more accurately based on your spending patterns as a retiree? Social Security legislation under debate in the U.S. House would tie the annual boost for inflation to the Consumer Price Index for the Elderly (CPI-E). Had that index been used to calculate the COLA for 2020, your annual boost would be 1.9%, versus the 1.6% that Social Security recipients are actually getting. .This week, the Social Security and Medicare Boards of Trustees released their highly anticipated annual reports on the financial status of the two programs. One congressional subcommittee held a hearing to discuss the findings, and The Senior Citizens League (TSCL) saw . .TSCL believes that beneficiaries need to maintain the freedom to choose their plan, their providers, and how they get their care. "We urge CMS and states to ensure a thorough beneficiary education process and have provisions that allow care with existing providers, especially during the transition," Hyland says. .Sources: "Housing Bust Derails Some Seniors' Assisted-Living Care," Harris Myer, Kaiser Health News, August 21, 2011.