Practically all retirees who rely on Social Security benefits for income have all done it. They know exactly how much they have in savings, have calculated how much their monthly expenses are, and say, “I have enough savings to last another 7-10 years.” However, now with inflation driving the costs of everything up, your savings might only
The problem is these same retirees plan to live another 10-15 years. It’s no wonder why so many seniors worry all the time, others are all stressed out. Knowing that seniors are struggling to make ends meet, the Social Security Administration threw out a lifeline, announcing its 2023 cost-of-living adjustment, or COLA, will be 8.7%, the highest since 1981. (Source: www.cbsnews.com, Oct. 13, 2022)
The average monthly benefit will rise by more than $140 a month, with the typical payment jumping from $1,681 to $1,827. Yet some seniors are worried the 2023 increase may not cover spiraling inflation. Why? Because COLA gives less weight on medical costs, which are typically higher for seniors, and greater weight to gasoline and transportation costs more common for workers and not retirees.
But that’s not the worst of it. Have you heard the phrase “back-stabber”? It’s when someone (e.g., the government) pretends or portrays themselves as your friend, or that they have your interests, your welfare at heart but instead they are involved in treacherous actions/words against you. The government is “smiling in your face,” i.e., 8.7% COLA, while it is stabbing you in the back with a hidden tax on your savings.
