Did you know that Social Security benefits are no longer as beneficial as they were intended to be? Even though Social Security benefits receive annual increases, beneficiaries are seeing a decrease in their benefits’ buying power.
Understanding “Buying Power”
For anyone asking, “what does buying power mean,” there is a simple explanation. Beneficiaries who spent $100 in 2000 would only be able to buy $60 worth of the same things today.
This $40 difference may not seem like too much, but the impact is much larger than you may think — retirees who live with a fixed monthly income, face skyrocketing costs for everyday items, and continue to have their healthcare costs unaccounted for.
The Rapid Decrease Continues
Previously, we reported that benefit payments have seen a 30 percent decrease to their buying power from 2000 to 2020. Unfortunately, in the last two years alone, this buying power decreased an additional 10 percent, CNBC reports.
Such a devastating loss of buying power means that senior citizens’ financial security is at risk!
Help Create More Financial Security
Senior Security Alliance firmly believes that all retirees deserve to have a financially secure retirement. For this to happen, the current Social Security program must have several changes. Thankfully, we created a bill that can help.
This bill, The Senior Citizens Bill of Rights, provides senior citizens with seven essential guarantees to help achieve more financially secure futures. Of these rights, we included the right to a better formula for cost-of-living adjustment (COLA) calculations. With a better formula, senior citizens can rest assured that not only inflation is accounted for, but also their healthcare costs are taken into account.
Join us in the fight towards a more financially secure future for senior citizens nationwide — make sure to follow us on Facebook and Twitter to stay informed on the bill and all our progress.
