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Lower gas prices means no Social Security increase next year
Old 10-11-2015, 11:03 AM   #1
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Lower gas prices means no Social Security increase next year

From the Wash Post.

https://www.washingtonpost.com/polit...2fc_story.html


That means 1/5 of the nations population will not see a raise next year. This is only the third time in 40yrs that has happened.

If I were an odds man, I would retire next year knowing I would get an increase the following year.
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Old 10-11-2015, 11:15 AM   #2
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Quote:
Originally Posted by kgtest View Post
From the Wash Post.

https://www.washingtonpost.com/polit...2fc_story.html


That means 1/5 of the nations population will not see a raise next year. This is only the third time in 40yrs that has happened.

If I were an odds man, I would retire next year knowing I would get an increase the following year.
Oh pooh!!! I was hoping for at least a little bit of a COLA.

Oh well, as you imply there's always next year. We might get a whopper of a COLA then, if gas prices revert to their prior levels. Plus, I think that home prices might be rebounding as well.

We have been through this no-COLA business before, I think maybe for the first year or two after I retired in late 2009? Oh how quickly we forget.
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Old 10-11-2015, 11:45 AM   #3
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I barely eked out a COLA this year. Pension requirements state inflation rate must be between 0%- 5% to get a 2% COLA. Last month of the 12 month cycle just barely pushed above 0% at 0.12%. About $125 a month after taxes, so it will be noticeable change in the monthly check.


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Old 10-11-2015, 03:53 PM   #4
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Yeah, its only happened 3 times in 40 yrs. and I have been lucky enough to endure all 3.
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Old 10-11-2015, 04:08 PM   #5
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To make matters worse, we just got notice that our prescription insurance is going up ~30%, or $112/month next year. Sez who there's no inflation? Liars!
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Old 10-11-2015, 04:14 PM   #6
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Looks like I'll be in the 30 percent of Medicare beneficiaries who will be on the hook for a premium increase to help pay for the increasing cost. I'm glad to see the ACA is reducing medical cost so much. And thanks to the wisdom of our lawmakers, I get to help pay the premium increases for the other 70% while they get a free ride. Add insult to injury, I have basically have no choice. Well since I didn't have any choice to pay SS and Medicare taxes all my working years, then why should I have a choice now that I'm retired.

Is this a great country or what.
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Old 10-11-2015, 04:38 PM   #7
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To make matters worse, we just got notice that our health insurance is going up ~30%, or $112/month next year, mostly for prescription coverage. Sez who there's no inflation? Liars!
My health insurance is going up $19.83/month next year. Also, I don't know yet if I will get caught in the Medicare 50% increase, which I guess is at least another $52.45/month for a total of $72.28/month increase. Well, or more if they increase Medicare cost this year.

I am thinking that 2017 will be better, though.

Another factor that they NEVER seem to include, is a monetary value for extreme happiness in a given year. I have been pretty doggone happy since I retired, and surely that is worth some sort of imputed income in dollars and cents. I'll bet it more than makes up for the increase in health costs. As long as they don't start taxing me on the imputed income due to my level of happiness, I'll be fine.
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Old 10-11-2015, 04:47 PM   #8
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Another factor that they NEVER seem to include, is a monetary value for extreme happiness in a given year.
Don't give them any ideas. Then they may start taxing us for extreme unhappiness with their policies, practices and laws. I'm sure I couldn't afford that!
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Old 10-11-2015, 04:55 PM   #9
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Looks like I'll be in the 30 percent of Medicare beneficiaries who will be on the hook for a premium increase to help pay for the increasing cost. I'm glad to see the ACA is reducing medical cost so much. And thanks to the wisdom of our lawmakers, I get to help pay the premium increases for the other 70% while they get a free ride. Add insult to injury, I have basically have no choice. Well since I didn't have any choice to pay SS and Medicare taxes all my working years, then why should I have a choice now that I'm retired.

Is this a great country or what.
Well I would personally like to thank you for keeping my premium the same for next year.........if that makes you feel any better.
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Old 10-11-2015, 05:04 PM   #10
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Well I would personally like to thank you for keeping my premium the same for next year.........if that makes you feel any better.
No, it doesn't.
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Old 10-11-2015, 05:26 PM   #11
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No, it doesn't.
I kinda figured it wouldn't.
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Old 10-11-2015, 06:14 PM   #12
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But isn't the flip side of this, that inflation has not increased this year. wouldn't that mean the things seniors need (outside of health care cost which always seems to go up) are not going up also?


I know since I drive about 110 miles a day, I'll take the lower gas prices any day.


personally this article makes me say a bunch of prayers that I am not in the position of financial disaster if my ss doesn't go up.
Very sad.
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Old 10-11-2015, 06:30 PM   #13
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Originally Posted by kgtest View Post
From the Wash Post.

https://www.washingtonpost.com/polit...2fc_story.html


That means 1/5 of the nations population will not see a raise next year. This is only the third time in 40yrs that has happened.

If I were an odds man, I would retire next year knowing I would get an increase the following year.
If I take SS @ 70.. I have 16 more years to wait.... so no raise for many years.
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Old 10-11-2015, 08:08 PM   #14
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Looks like I'll be in the 30 percent of Medicare beneficiaries who will be on the hook for a premium increase to help pay for the increasing cost. I'm glad to see the ACA is reducing medical cost so much. And thanks to the wisdom of our lawmakers, I get to help pay the premium increases for the other 70% while they get a free ride. Add insult to injury, I have basically have no choice. Well since I didn't have any choice to pay SS and Medicare taxes all my working years, then why should I have a choice now that I'm retired.

Is this a great country or what.
As I understand it, as soon as there is a COLA on the SS of those already collecting who have Medicare deducted from the SS payments, their Medicare premiums will be increased until they are the same as you (and I, also not collecting SS yet but on Medicare) pay. Our projected increase (which may not happen--legislation has been introduced to prevent it) means we will only temporarily be paying more; all will be equal within a few years.
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Old 10-11-2015, 08:15 PM   #15
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My pension has no COLA, so I'm happy with low inflation. The hit I will take on my small SS will not be major. I think I will be able to struggle along with Medicare increases as opposed to medical insurance I paid before I started Medicare.
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Old 10-11-2015, 08:16 PM   #16
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To make matters worse, we just got notice that our prescription insurance is going up ~30%, or $112/month next year. Sez who there's no inflation? Liars!
Is that a plan D? That's crazy. DH just switched to Humana Walmart Rx and it's only $18 a month for 2016.
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Old 10-11-2015, 09:26 PM   #17
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As I understand it, as soon as there is a COLA on the SS of those already collecting who have Medicare deducted from the SS payments, their Medicare premiums will be increased until they are the same as you (and I, also not collecting SS yet but on Medicare) pay. Our projected increase (which may not happen--legislation has been introduced to prevent it) means we will only temporarily be paying more; all will be equal within a few years.
That's my understanding too. In the bigger picture the amounts are very small (a little more than $600 next year per person that's affected) However, it's still unfair no matter what the amount. Let's see if they can "right their wrong" before they take our money, again.
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Old 10-11-2015, 10:36 PM   #18
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For just the third time in 40 years, millions of Social Security recipients, disabled veterans and federal retirees can expect no increase in benefits next year, unwelcome news for more than one-fifth of the nation’s population.
I don't know why the WaPo thinks this is "unwelcome news". It seems like good news to me. I buy gasoline. I buy other stuff, too. If average prices have stayed about level, that's good news.

I have a modest non-COLA'd pension. I'm better off with
no inflation, no SS increase, and no pension increase than I would be with
some inflation, some SS increase, and no pension increase.

Quote:
If I were an odds man, I would retire next year knowing I would get an increase the following year.
That doesn't compute for me.
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Old 10-12-2015, 12:33 AM   #19
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Personally I like low cost gas, been packing on the miles travelling.
I'm too young for SS right now so not affected.
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Old 10-12-2015, 11:29 AM   #20
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I really have mixed emotions on the low inflation of late. I really think I am better off with low inflation
with my level of saving and having
no COLA on SS or high interest rates on cash. But my gut likes seeing SS and interest rates go up. Head VS: Gut. Oh well, can't do anything about it.
But I remember the high inflation of 35 years ago and do not want that back.
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