“Record Social Security bump could push seniors into higher tax bracket, experts say”

 

“Record Social Security bump could push seniors into higher tax bracket, experts say,” by Kathleen Steele Galvin, McKnight’s Senior Living

 

Quote:

“Social Security recipients could see a record 10.5% cost of living adjustment next year, the bipartisan Senior Citizen League predicts, but that could bump some beneficiaries into higher tax brackets. Paying more in taxes could have the net effect of reducing retirees’ financial ability to move into a long-term care facility. … The downside to the interest rates hike for senior housing … is that fixed mortgage rates will increase, which could make it more difficult for older adults to sell their homes and move into senior living communities. The proceeds from home sales often are used to finance such moves.”

 

LTC Comment, Stephen A. Moses, President, Center for Long-Term Care Reform:

Triple jeopardy for seniors. Inflation taxes them once; higher taxes, twice; increased interest rates, thrice. Result? More people dependent on Medicaid sooner for LTC.