Social Security Recipients Will Receive One-time $250 Payment To Make Ends Meet
U.S Representative Mary Jo Kilroy (OH-15) today announced that upon returning to Washington in November she will support legislation to provide Social Security recipients with a one-time $250 payment. The Seniors Protection Act seeks to counterbalance the decision made today by the Social Security Administration to not provide a Cost-of-Living Adjustment (COLA) for recipients this year. Without the measure, 2011 would mark the second consecutive year that Social Security retirees, veterans, and people with disabilities would see no increase in their monthly Social Security, SSI, VA Pension and Compensation, and Railroad Retirement benefits.
"Seniors need this extra help. Their cost of living, medical care, prescription drugs, housing and assistance are all much higher than younger Americans, and sometimes the Social Security Administration forgets that," said Representative Kilroy. "I'm not going to allow some bureaucrat in Washington hurt my constituents. I support the Seniors Protection Act, and will vote for it in November."
The COLA is automatically calculated using data on inflation published by the Bureau of Labor Statistics (BLS). October 15 is the day BLS releases the final economic factor that the Social Security Administration uses to calculate the annual COLA. In 2009, Social Security recipients saw a 5.8% increase in their benefits, the largest since 1982, as a result of rising costs; but in 2010, they saw no COLA at all. Social Security benefit levels are modest -- only $14,000 a year for the average retiree. The median income for senior households is just $24,000, reflecting just how much Social Security means to most elderly Americans. Six in ten seniors rely on Social Security for more than half of their income, and about a third of retirees have little other than Social Security on which to live.
There are several false rumors circulating on the internet about Social Security and the reasons for the lack of a COLA. You may find the following links useful.
* "Is it true that the Democratic Congress will not allow an increase in the Social Security COLA?"
* Is SSA spending COLA money on electronic medical records, instead of a COLA?
* Debunking myths about the history of Social Security