Inflation strikes twice for many retirees

[Doc7505]

Inflation strikes twice for many retirees​

A tax on Social Security earnings isn't indexed for inflation, and it's pulling in more older Americans.​

Inflation strikes twice for many retirees

A tax on Social Security earnings isn't indexed for inflation, and it's pulling in more older Americans.

www.politico.com

5 Jan 2022 ~~ By Brian Faler

Spiking inflation is helping push up taxes on a group that lawmakers are loath to cross: the elderly.
While Social Security benefits increase along with rising prices, and seniors just received a fat cost-of-living adjustment, the threshold at which they can begin to owe taxes on that money is not adjusted for inflation — and hasn’t been changed since the Reagan administration.
~Snip~
In the meantime, that is giving Republicans a new opening in their drumbeat of criticism over the administration’s response to the worst inflation in decades.
“Inflation is a tax and hits seniors on fixed incomes especially hard thanks to President Biden,” said Rep. Kevin Brady of Texas, the top Republican on the House Ways and Means Committee.
“Higher fuel, food, utilities and now higher taxes on their Social Security benefits are punishing the elderly with no end in sight.”
Larson countered: “Republicans will complain about Social Security and inflation, but they won’t work with us on a plan.”
“It’s time they come to the table and support solutions.”
~Snip~
More than 200 House Democrats, the vast majority of the chamber’s caucus, have endorsed Larson’s legislation, which would hike the tax thresholds as part of a broader plan to expand Social Security benefits. His proposal would up the limits to $35,000 for singles and $50,000 for couples.
In a statement, he said the current rules need updating and that Democrats’ plan “would provide income tax relief to millions of seniors.”

Commentary:
Meanwhile, retirees are faced with inflation on fixed incomes and taxed on their savings. each time they withdraw needed funds to meet the increases created by this regime.

 

[Auld Phart]

You'd think older congressmen would have shot it down.

 

[Doc7505]

You'd think older congressmen would have shot it down.

Nah! They get too rich by their insider trading and corruption to worry about Social Security...

 

[toobfreak]

You'd think older congressmen would have shot it down.

Are you serious? They have their own special healthcare and retirement pensions which you and I can only dream of getting. They do NOT feel your pain.

Why the hell do you think these people keep working in government until they are 85? Life is one big party there is DC, the hardest they work is when in front of the mic trying to look interested as they answer media questions.

They want no part in your retirement, they know, they helped set it up.

 

[Ringo]

Venerable metropolitan economic publications are amazed - how is it that? Pirate capitalist republics have been living with zero inflation since the "1990s", and suddenly!....

Idiots or pretending to be idiots. You exported inflation by buying russian energy and chinese labor for candy wrappers. You're done great! But, everything ends

 

[badbob85037]

Inflation strikes twice for many retirees​

A tax on Social Security earnings isn't indexed for inflation, and it's pulling in more older Americans.​

Inflation strikes twice for many retirees

A tax on Social Security earnings isn't indexed for inflation, and it's pulling in more older Americans.

www.politico.com

5 Jan 2022 ~~ By Brian Faler

Spiking inflation is helping push up taxes on a group that lawmakers are loath to cross: the elderly.
While Social Security benefits increase along with rising prices, and seniors just received a fat cost-of-living adjustment, the threshold at which they can begin to owe taxes on that money is not adjusted for inflation — and hasn’t been changed since the Reagan administration.
~Snip~
In the meantime, that is giving Republicans a new opening in their drumbeat of criticism over the administration’s response to the worst inflation in decades.
“Inflation is a tax and hits seniors on fixed incomes especially hard thanks to President Biden,” said Rep. Kevin Brady of Texas, the top Republican on the House Ways and Means Committee.
“Higher fuel, food, utilities and now higher taxes on their Social Security benefits are punishing the elderly with no end in sight.”
Larson countered: “Republicans will complain about Social Security and inflation, but they won’t work with us on a plan.”
“It’s time they come to the table and support solutions.”
~Snip~
More than 200 House Democrats, the vast majority of the chamber’s caucus, have endorsed Larson’s legislation, which would hike the tax thresholds as part of a broader plan to expand Social Security benefits. His proposal would up the limits to $35,000 for singles and $50,000 for couples.
In a statement, he said the current rules need updating and that Democrats’ plan “would provide income tax relief to millions of seniors.”

Commentary:
Meanwhile, retirees are faced with inflation on fixed incomes and taxed on their savings. each time they withdraw needed funds to meet the increases created by this regime.

Since democRats took over government they have gotten away with murder. But it is Republicans that have stopped any reform of SS. It's unbelievable democRats fall for this stupid shit.

 

[Blues Man]

And people keep telling us how great Social Security is

 

[Resnic]

You'd think older congressmen would have shot it down.

I don't think they care because it doesn't effect them. They look at things through their own eyes. And their eyes see a very different thing than 100 million Americans see.

I'm just thankful my grandma is ok. Last year the state bought her house and land in order to build a new road through it and they paid a pretty penny. She isn't stinking rich, but she will be ok. Plus she has a lot of friends, they visit her and bring her food. I worry a bit because she is 93 and still lives alone but atleast financially she will be ok because she spent her whole life not needing or wanting a lot. But I know there are a whole lot of elderly people that aren't as lucky as her.