Social Security COL raise.

[stevej37]

^^^ sorry, I had the wrong address the first time.

https://secure.ssa.gov/RIL/SiView.action

[GH85Carrera]

Originally Posted by KC911

^^^^ I never thought I would receive a penny in SS all those years I was paying into it. It's all gravy $$$ .... now extra gravy.

I'm getting a credit card and heading to Walmart towards the health food aisle with two carts. Gonna help some ladies lose weight !

I too was skeptical, but happy to be wrong about receiving SSI.

It is kinda cool to see money just appear in my checking account every month.

[stevej37]

^^^ I'm not positive on this...but I don't think a paper check is even an option anymore.
You have to have direct deposit.

[GH85Carrera]

I sure would not want a paper check, unless that was the only option to receive money.

I am the treasurer of our local PCA region. Like most regions we are incorporated as a educational non profit club. The bank we use has had our account for decades. They were locked into the 19th century, and wanted everything done analog. Just a few months ago I went in, and said I want on-line access, and electronic deposit and to move the account into the year 2022. They resisted, and I said bring out the manager. This is simple, you will bring us into the 2022 banking or we will find a different bank that will.

Right now we are setting up the annual Christmas party. We are for the first time accepting credit card payments from the members for their meals. Modern technology wins again.

[KNS]

I don't retire for another eight to ten years but I do not factor SS into my retirement planning.

I expect it to be nearly exhausted by then and I'll receive perhaps a pittance at best.

I had a financial advisor tell me once that the reason the Govt keeps upping the retirement contribution "Catch-Up" amounts so prodigiously every year is because the Govt is trying to send a not so subtle message: "Don't expect SS to be there"

[Crowbob]

The actuarals have been sounding the alarm about SS going broke for decades.

Won’t happen. Why, you ask?

Because money is already obsolete. They’ll just print more of it as needed. Just like this COLA. It’s meaningless. They call it an 8% increase but is actually a 3% decrease.

Is all fake. It’s just electrons flying around in tiny machines that shoot more electrons into the air. There’s no difference between crypto and dollars other than…ok they’re the same thing.

One dollar out a trillion is as close to zero as my feeble mind can comprehend.

[stevej37]

I heard all this 'SS won't be there' 10 years before I retired.
Now, 5 years into retirement, it's still going strong. (15 years later)

Don't believe all the doom and gloom.

[Sooner or later]

Without any changes SS should be able to pay full benefits until 2034.

After 2034 benefits would be reduced by about 25%.

[stevej37]

Anyone wondering about what age to start SS and are concerned about it collapsing....I say 'start it early'
If not worried about it going away....'start it early anyway'

The best years for using the money are the early ones...unless you want more when you live in a nursing home.

[KNS]

Originally Posted by Sooner or later

Without any changes SS should be able to pay full benefits until 2034.

After 2034 benefits would be reduced by about 25%.

That's what I've been hearing - right about the time I'll be retiring. I'm not counting on any of it.

I wonder what congress will do in 2033? It's going to be a CF.

[GH85Carrera]

There is never ever talk of welfare going away. If the feds just paid back all the IUOs with interest to SS it would be flush and making money. When Welfare, WIC and all the free cheese stop, then SS might be in trouble.

[Sooner or later]

Trust Fund basics

https://www.cbpp.org/research/social-security/understanding-the-social-security-trust-funds-0

[stevej37]

I was told by someone that the Dec. payment will include the raise for the new amount.

[fintstone]

Funny how people feel like they got a "raise" with COLA when it doesn't even begin to keep up with inflation. They were much better off with smaller increases and low inflation.

[stevej37]

^^^
We had a choice in the matter?
I missed that.

[fintstone]

Originally Posted by stevej37

^^^
We had a choice in the matter?
I missed that.

2020 election.

[stevej37]

^^^ It's not a big deal to me because I have a good pension along with savings.
An 8.7% increase in SS is a lot better than nothing....also called a nice raise.

As far as inflation goes....not that noticeable here.

[wdfifteen]

Originally Posted by stevej37

An 8.7% increase in SS is a lot better than nothing....also called a nice raise.
As far as inflation goes....not that noticeable here.

Not noticeable here, either.

The ways inflation is measured (CPI, CPI-U, core CPI, PCE, etc) are at best averages. Everyone's experience is different, depending on your location and personal situation. You can't just look at the statistics and assume they apply to you. Pessimists look at the averages and assume their true costs are higher, but that may not be true.
For us, the COLA adjustment is a net positive.
The one of the biggest categories in the CPI is housing. My home is paid for, so my housing costs are basically the cost of insurance and maintenance - no way that is 30% of my budget. The category that includes the cost of buying a and maintaining a car is way too high for our situation. OTOH, our medical costs are a greater percentage than the CPI allows for.
Add the COLA adjustment, the fact that our interest-based savings are earning 400-500% greater returns (iBonds are paying close to 10% now), and the fact that our inflation on the cost side is only 3-4%, and inflation has been a good thing for us.

[stevej37]

^^^ Sounds very similar to my situation....except my savings are mostly lower interest type.

[GH85Carrera]

Many times over the years, both parties have threatened cuts to SS because it is running out of money. When the POTUS, and Congress take pay cuts or get no pay, I will believe SS can be cut back. The day congress does not get money for their huge staff and the the elected officials, I might believe they are serious about reducing the budget. That will happen right after the unicorns fly in with a bigfoot on their back to save us from the extraterrestrial alien invasion.