Will there be a$ 200 a month increase in Social Security?

Under terms of the bill, anyone who is a current Social Security recipient or who will turn 62 in 2023 would receive an extra $200 in each monthly check.

finance.yahoo.com - Social Security: New Bill Could Give Seniors an Extra $2,400 a Year

What happens when a narcissist loses an empath?

Eventually a narcissist will start to move on from their relationship with an empath. They will likely find someone else to spend their time with...

Last updated Apr 9, 2020

How do you tell if it was a date?

What is a date: 5 signs it's a romantic date for couples It's just the two of you. ... Plans are in place. ... You feel the butterflies. ... Effort...

Last updated May 6, 2018

Promotion

Vadym Pastukh / iStock.com

Social Security recipients could get an additional $2,400 a year in benefits if a new bill recently introduced to Congress wins approval — something seniors would no doubt welcome as surging inflation wipes out their annual cost-of-living increases. Social Security: Women Get $354 Per Month Less Than Men – Here’s Why

Related: 5 Things You Must Do When Your Savings Reach $50,000

The Social Security Expansion Act was introduced on June 9 by U.S. Rep. Peter DeFazio (D-Ore.) and U.S. Sen. Bernie Sanders (I-Vt.), CBS News reported. Under terms of the bill, anyone who is a current Social Security recipient or who will turn 62 in 2023 would receive an extra $200 in each monthly check. The bill is timely for a couple of reasons. First, it follows a Social Security Administration announcement earlier this month that Americans will stop receiving their full Social Security benefits in about 13 years without actions to bolster the program.

Take Our Poll: Do You Think Student Loan Debt Should Be Forgiven?

It also comes during a period of historically high inflation that has a particularly big impact on seniors living on fixed incomes, many of whom rely solely on Social Security payments. This year’s Social Security Cost-of-Living Adjustment (COLA) of 5.9% is based on inflation figures from 2021. But since then, inflation has pushed well above 8%, meaning Social Security recipients today are actually losing money. The new bill aims to ease the financial strain by boosting each recipient’s monthly check. The average monthly Social Security check is about $1,658, meaning a $200 increase would represent a 12% boost. “Many, many seniors rely on Social Security for the majority, if not all, of their income,” said Martha Shedden, president of the National Association of Registered Social Security Analysts. “$200 a month can make a significant difference for many people.” In addition to boosting the monthly payment, the bill also would make several changes to the program itself. One would be to base the annual COLA on the Consumer Price Index for the Elderly (CPI-E) instead of the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).

Story continues

Another change would be adding more funding by applying the Social Security payroll tax on all income above $250,000. Currently, earnings above $147,000 aren’t subject to the Social Security tax. Even if the bill in its current form doesn’t pass Congress, observers expect some kind of change to Social Security to ensure it serves the needs of recipients well into the future. “I’m confident changes will be made,” Shedden said. “I don’t know if this is the bill that will pass, but there is more and more movement on it.”

Is Social Security based on your 5 highest earning years?

We base your retirement benefit on your highest 35 years of earnings and the age you start receiving benefits.

ssa.gov - The Age You Start Receiving Benefits and the Age You Stop Working | SSA

Your retirement age is the age you begin receiving Social Security retirement benefits. For many people, this is not the same age you’ll stop working. The age you stop working can affect the amount of your Social Security retirement benefits. We base your retirement benefit on your highest 35 years of earnings and the age you start receiving benefits. If You Stop Work Before You Start Receiving Benefits If you stop work before you start receiving benefits and you have less than 35 years of earnings, your benefit amount is affected. We use a zero for each year without earnings when we calculate the amount of retirement benefits you are due. Years with no earnings reduces your retirement benefit amount. Even if you have 35 years of earnings when you stopped working, some of those years may be low-earning years. When you file for retirement benefits, those years are averaged into your calculation, creating a lower benefit. However, if you had continued to work, your low earning years are replaced with your high earning years. Higher earnings increase your benefit amount.