Originally posted by banca rotta
View Post
The difference between conservative reactionaries like yourself and me is that I deal in facts, and you deal in opinions tainted toward your point of view.
I know a lot about Social Security and cost of living increases for Seniors. What you fail to understand is that two years ago SSA increased the COLA by nearly 6%, the highest COLA increase since 1982 (when inflation was over 10%). This was caused by increasing food and energy prices in 2007 and the highest inflation rate in 17 years of 4.1%. Since the SS COLA is determined by the average COLA for the months of July - September for this year compared to last year, the 2008 COLA was actually higher than the cost of living once energy prices recovered. Seniors have been getting above the inflation rate income ever since. And until annual inflation becomes higher than it was for FY 2007 ending in September, there can be no COLA increases for Seniors. This is a well known fact, but in partisan politics facts make no difference. You ignore the facts as do all the conservatives. Nice example you have provided here.
Now there will be increases for the 30% of seniors choosing a Medicare Advantage policy instead of regular Medicare, starting in January 2011. Those increase in health care costs will be reflected in the COLA SS increase for 2012, and the SSA estimates about a 2% COLA for 2012. But the inflation rate has remained low for the last 2 years, up to about this fall.
I buy groceries, gasoline, and pay for health costs every month. The price of groceries started to decrease last year. Gasoline has remained the same (around $2.75/gl) here for the last two years. My health insurance has not had a premium increase for the same coverage for the last two years, and my rent has also not increased in two years. Prices are not increased in a recession! My Medicare Advantage health insurance premium will finally increase starting in January 2011. But persons on regular Medicare will still have no increase in their Part B premium next year, since there was no SS COLA increase.
Persons dependent on SS income will finally fall behind starting soon (since food prices are just starting to increase) and this will continue through 2011. But it is not a "lying" government that caused this - it is the real inflation data that has remained low (and negative for 1 1/2 years) that determines the next year's COLA. This has been the system forever - There is always a delay in COLA when inflation increases after the October COLA calculation for the next year.
Of course Seniors like to complain and whine about no COLA increase like everyone else in this economy. They don't want to look at the facts - they have been doing just fine with there 6% annual increase since 2008. And as one, and one who advises other seniors, I am in a position to know. I have had no increase in my household expenses for the last two years. In fact some essential items are still dropping in price, like red table wine and hard drives for example.
Comment