“How Taxes, Medicare Premiums Erode Social Security Benefits Despite COLAs”

“How Taxes, Medicare Premiums Erode Social Security Benefits Despite COLAs,” by Ginger Szala, ThinkAdvisor

 

Quote:

“Retired clients collecting Social Security benefits get hit in two ways when it comes to inflation. First, the cost-of-living adjustment, or COLA, typically doesn’t keep up with Medicare payment adjustments, and second, income levels above which retiree benefits are taxed haven’t been raised to match price and income growth. The combination, a Center for Retirement Research at Boston College paper states, means that inflation continues to eat away at Social Security benefits despite the yearly COLA.”

 

 

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

The economic sinkhole of government dependency slowly claims more and more people through inflation.