The government has stated that the yearly raise for social security will be 3%. However, this increase is significantly lower than the yearly rise in the overall cost of living across the country.
Individuals who have consistently contributed to the Social Security program through payroll taxes over many years are now encountering a problem. The government’s decision means they will receive several thousand dollars less than they might have expected based on the rising cost of living.
This has led to frustration and discontent among these individuals, as they feel that their contributions are not being fully reflected in the benefits they are receiving. Join us in this week’s edition of “Making Sense”, where Ed Butowsky breaks this down from a detailed standpoint, and where we’re currently at.
- With a 3% increase to Social Security payments, the government has failed to meet the rising cost of living increase for the recipients of the money.
- For someone who makes 50k/year, a 17% strain has been added to their budget. For 100k/year it is about 8.5%.
- Regardless of the current party in office, the government plays games every year around this number because they want to pay as little out as possible and will adjust the sot of living numbers accordingly.