The president’s proposal to cut senior citizen COLA increases is very unfair.
Social Security is not part of the federal deficit problem. The first recipients of Social Security when it began in the 1930s had not paid in all their lifetimes, but those of us drawing Social Security payments now paid a good chunk of our wages into the system, matched by our employers, for 50 or 60 years. Sure, Congress “raided” our savings for regular government expenditures and wasted a lot of money apparently, but that is not our fault. We want and are entitled to what we were promised as we made those payments every time we got a paycheck.
Cost-of-living increases only make up for inflation and are not real increases at all.
In the past four years, we have received no increases twice and received a percent or two the other two years, averaging less than a percent a year. Gasoline has almost doubled in price, food is up 20 percent, my medical copayments are up more than 100 percent, insurance and everything costs more, but Uncle Sam says there is “no inflation.” Sure! Doesn’t he ever go to the grocery store?
The proposed cost-of-living index increases are supposed to take into consideration items we can substitute when prices rise and will no longer increase payments by the actual annual inflation amount. Maybe they have cat food instead of tuna in mind? Government strategy makes money we saved worthless for earning interest, and now they want to cut our already unfair tiny raises for inflation. This is just not right! Maybe they don’t remember that senior citizens all vote, and when the next election comes around in 2014, we will remember who did this to us.
retired finance executive