Millions of older adults are currently struggling to make ends meet and cannot afford housing, food or healthcare. The upcoming increase in Social Security checks will not solve this problem. The Social Security Administration has anticipated that the next COLA increase may not be enough for retirees who are already struggling due to continued rising consumer costs. According to independent Social Security and Medicare researcher Mary Johnson, the COLA announcement is scheduled for Oct. 10 and analysts expect a modest 2.5% increase given falling inflation. This is down from the 3.2% growth this year and the 8.7% increase in 2023. The nonpartisan Senior Citizens League estimates that the average COLA increase over the past 20 years has been about 2.6% fraud.

Retired Americans are upset about the upcoming slight increase in Social Security checks

COLA earnings are expected to be the lowest since 2021. In 2025, the average Social Security payment would increase by almost $48 per month. This is based on the current average monthly pension, which is $1,907, according to the Social Security Administration. The Medicare Premium Part B is expected to increase by $10.30 to $185 per month from the current $174.70 per month, reducing a portion of the COLA. Because Medicare Part B is deducted directly from Social Security benefits, a portion of the COLA gains are offset by any increases from Medicare.

For example, Susan, a 71-year-old woman from central Virginia, told MarketWatch that this happens monthly Social Security Payment $48 is not enough to meet her family's needs. She relies heavily on Social Security for her monthly budget and spends $300 a week at the grocery store, supplemented by venison from her husband's hunts. Susan believes that the monthly payment does not make a significant contribution to her income. Additionally, the 71-year-old woman said her electric bill has increased even as gas prices have fallen, and her two dogs' veterinary bills have increased significantly. Their home needed a new roof and the appliances and air conditioning needed replacing. These expenses are beyond the financial scope of a COLA increase.

About half of seniors in the United States are unable to meet their basic needs for housing, food, transportation and healthcare

That's predicted, according to an updated study from the National Council on Aging and the LeadingAge LTSS Center at UMass Boston COLA increase occurs when more than half of seniors aged 60 and older are unable to meet their basic needs for housing, food, transportation and healthcare. The Elder Index is used to identify basic needs. The research shows that 49.6% of older people, or over 27 million households, cannot meet these requirements. The most recent data available, from 2020, showed that the impact of the pandemic had not yet been fully felt and households had grown by almost 5% in just two years.

Furthermore, the Elder Index offers The amount of money that different age groups need to cover basic expenses, stay put, or maintain independence in their homes as they age. It focuses on the necessities of housing, transportation, Medicare payments and groceries, including the most affordable meal plan that meets USDA dietary guidelines. It prohibits entertainment, leisure and eating outside the home. According to the report, 60% of older people saw their total wealth decline between 2018 and 2020, even though their income increased slightly.

In fact, 15 million households, or the worst 20% of Americans over 60, were wealthless, and some were even in debt. In 2020, the median income for this group was $18,000. Over 90% of this group had household income below the Elder Index threshold. A report by Marc Cohen, co-author of the LeadingAge LTSS Center at UMass Boston shows that despite income gains, millions of older adults continue to live on the margins. The situation is untenable as it worsens and becomes a crisis. The report highlights the need for urgent action as the country is currently in the worst phase of a crisis.