Social Security benefits are intended to help seniors to afford the things they need in retirement. Unfortunately, the benefits many Americans get in their retirement years are not even close to enough to live on. In fact, it comes as quite a surprise to many Americans how little they actually receive. This is a long-standing problem. Now, with inflation creating more challenges, how will seniors manage in 2023?
How Social Security Fails Seniors
Social Security benefits are not enough to cover expenses for older Americans. It’s unfair for a population to pay into a system during all their working years only to not get what they earned. Benefits are far too low. They have always been too low, and there has been no significant action taken to give seniors the increase they desperately need.
What About COLA?
The annual Cost-of-Living Adjustment (COLA) should be the solution to rising costs. Increasing benefits based on rising costs should even the playing field, right? Of course it should, unfortunately, the system is deeply flawed. COLA adjustments do not reflect actual costs for seniors. While the increase is based on estimated inflation, it doesn’t account for things like Medicare premium hikes which significantly cut into seniors’ pocketbooks.
What Will Retirees get from Social Security in 2023?
Much higher COLAs for 2023 are already being speculated. Of course, a higher COLA is not enough when the system is broken. Next year could be more of the same, or it could be a greater challenge. Another option is, that Congress could pass The Greatest Generation Benefits Act. This would bring much-needed substantial change. Learn more here, and get the latest updates by following us on Facebook and Twitter.