The White House predicted that Americans on Social Security will see a $140 per month increase ahead of Thursday, when the Social Security Administration is expected to announce a cost-of-living adjustment (COLA).
“Tomorrow, seniors and other Americans on Social Security will learn exactly how much their monthly checks will increase — but experts estimate it will be $140 per month on average starting in January. For the first time in over a decade, seniors’ Medicare premiums will even decrease as their Social Security checks increase, White House Press Secretary Karine Jean-Pierre said in a statement.
The COLA is expected to change by at least 8 percent, which would be the largest increase in four decades. The annual adjustment is determined by inflation, which fell to 9.1[ads1] per cent and 8.6 per cent in July and August respectively.
The Ministry of Labor is set to release data on consumer prices from September on Thursday.
Jean-Pierre said a COLA increase would allow Americans on Social Security to get ahead of inflation.
“This means seniors will have a chance to get ahead of inflation, because of the rare combination of rising benefits and falling premiums. We’ll put more money in their pockets and give them a little extra breathing room,” she said.
She also took a jab at Republicans, citing Sen. Rick Scott’s (R-Fla.) tax plan that includes sunset provisions for such programs. Scott’s plan is not widely supported by other Republicans.
“MAGA Republicans in Congress continue to threaten Social Security and Medicare — proposing to cut them every five years, threatening benefits and changing eligibility,” Jean-Pierre said.
“If Republicans in Congress get their way, seniors will pay more for prescription drugs and their Social Security benefits will never be secure. The president has a different approach — one that continues the progress we’ve made and saves money for seniors,” she added.
Persistently high inflation has plagued Democrats and affected President Biden’s approval rating, and economists expect the consumer price index to have risen 0.2 percent in September.