Despite Record 8.7% COLA for 2023, ‘Still More Work to Do to Help Seniors’
It was announced by the Social Security Administration a historic 8.7 percent COLA increase for benefits in 2023. The extra money each month will help recipients cope with inflation to some extent when they come up with January’s payments.
However, there are concerns that more needs to be done, especially when it comes to seniors make COLA more responsive to the expenses they face which is not used in the current calculation.
The current COLA uses inflation figures from the CPI-W, a broad basket of consumer goods and services. There are calls to use KPI-E which targets goods and services that “will more accurately measure consumption patterns of seniors.”[ads1];
The Senior Citizens League recently reported that since the early 2000s they have been on Social Security has lost forty percent of its purchasing power.