News

  • Legislative Update November 2012

    Social Security recipients will receive the highest cost-of-living adjustment (COLA) in 5 years, effective January 1st. The Social Security Administration recently announced a COLA of 2%. While the boost is critically needed for almost 61.5 million beneficiaries to maintain their purchasing power, the 2% COLA extends a disturbing 8-year pattern of low COLAs that have been far below the 4% average established in the decade prior to 2010 and the Great Recession. .TSCL is happy to hear that. However, we also know that the big drug companies are spending millions of dollars lobbying heavily against legislation in Congress that would lower drug prices. So, we remain skeptical of his intentions until we actually see a proposal or proposals to do what he claims the drug companies want to do. .Terry: The anchor effect is the psychological tendency to rely too much on the first piece of information we get in the process of making a decision. For example, when you go to buy a house, the list price becomes the starting point (the "anchor") for negotiations, even if it is a very poor reflection of the home's true value. When you get a solicitation for a charitable donation in the mail, it often lists suggested contributions, starting with the highest figure they hope you will select. That high figure becomes the anchor for your thinking about what to give. … Continued

  • Savings Hurt By Low Interest Rates So Is Social Securitys Cbo Says

    TSCL is a strong supporter of H.R. 973, and we were pleased to see support grow for it this week. .Social Security Totalization Agreements are designed so that workers and their employers would not be subject to double taxation, owing payroll taxes to both the country in which they work, and their home nation. In addition, totalization agreements allow workers to earn generic work credits good for receiving retirement benefits in either country. These credits from the United States and other countries can be totaled together to receive benefits. The U.S. currently has 24 totalization agreements with other nations, most having economies similar to our own. .As you have learned, there's a long lag time between the year you earned the money and when you get the notice from Social Security. Social Security makes the adjustments based on your W2s and tax returns. Making matters worse, the earnings limit is adjusted annually and was even lower in prior years. In 2018 the limit was ,040 and in 2017, ,920. In addition, the notice you received would likely only pertain to one year of earnings, and you possibly could receive a similar notice next year and go through the process of withheld benefits all over again. … Continued

On Thursday, The Senior Citizens League estimated that Social Security beneficiaries will receive a 2.8 percent cost-of-living adjustment (COLA) in 2019, based on consumer price index (CPI) data through August. The official 2019 Social Security COLA will be announced next week – on Thursday, October 11th – following the release of the September CPI data. .To learn more about how the SSA calculates the COLA you can find that info here. .Get signed up for Medicare now in order to have your coverage start the month you turn 65! .While most in Washington acknowledge this dilemma, and House Republicans have put forward a plan to address the issue, our leaders have yet to agree upon a solution to preserve the program for seniors beyond that date, and instead are pitting each other against seniors. .Voters are worried about the impact that midterm elections could have on Social Security benefits. The U.S. Congressional Budget Office estimates that recent tax reform will add .8 trillion to the federal deficit over the next 10 years. To make matters worse, the Social Security trustees recently reported program financing has eroded, and estimated that the trust funds will run short by 2034, due to lower-than-expected revenue from tax law changes. .We want to begin this week's update by reminding you to seriously consider seeing your health care provider if you have been putting it off because of the pandemic. That is especially true if you have a serious health condition and you need treatment or close monitoring. .Medicare pays the plans a pre-determined monthly amount for each enrollee. Higher rates are paid for sicker patients, and lower amounts for people in good health. The "risk adjustment" policy is intended to avoid the problem of plans cutting corners on healthcare to boost profits. But the audits found pervasive problems with many plans overstating the severity of enrollees' medical conditions, with little documentation of the medical conditions being claimed. .One new cosponsor also signed on to the Strengthening Social Security Act (H.R. 3118), bringing the total up fifty-six. The new cosponsor is Rep. Chellie Pingree (ME-1). If signed into law, the bill would reform the Social Security program in three ways: it would adjust the benefit formula, resulting in more generous monthly benefits; it would adopt the Consumer Price Index for Elderly Consumers (CPI-E), resulting in more accurate cost-of-living adjustments (COLAs), and it would lift the cap on income subject to the payroll tax. The bill would extend the solvency of the Social Security Trust Fund responsibly, without cutting benefits for seniors. .Congressman Elijah Cummings (MD-7) – Chairman of the House Oversight and Reform Committee – announced his committee's investigation into twelve of the largest pharmaceutical companies in January. He said, "The goals of this investigation are to determine why drug companies are increasing prices so dramatically, how drug companies are using the proceeds, and what steps can be taken to reduce prescription drug prices." The first hearing that his committee held in the 116th Congress examined the causes of rising drug prices.