No COLA Increase for Social Security Benefits

Monday, October 11, 2010

The Obama administration seems to enjoy seeing how far he can push voters as news comes the Fed is expected to announce this Friday that more than 58 million Social Security recipients will go another year without an increase in their monthly benefits.

This marks only the second year without an automatic cost-of-living increase since 1975. The first time without an increase was this year, or 2010.

With voters livid at the Federal government, the U.S. Congress, the president, vice president, the wars in Iraq and Afghanistan, and the protected classes of wealthy bankers and rich Wall Street investors, not providing a COLA for Social Security for a second year will undoubtedly be akin to throwing gas on a burning fire.

According to Andrew Biggs, a former deputy commissioner at the Social Security Administration, “If you’re the ruling party, this is not the sort of thing you want to have happening two weeks before an election.”

The cost-of-living adjustments, or COLAs, which are automatically set each year by an inflation measure, was adopted by Congress back in the 1970s. Based on inflation so far this year, the trustees who oversee Social Security project there is low inflation so there will be no COLA for 2011.

Democrats have been working 24/7 to make Social Security an election-year issue, running political ads and holding press conferences to accuse Republicans of plotting to privatize the national retirement program. But following the news there will be no cost-of-living increase for Social Security benefits for a second year, my guess is the Democrats will have absolutely zero credibility on the topic.

Social Security is the primary source of income for 64% of retirees who received  benefits in 2008. A third relied on Social Security for at least 90 percent of their income and as retired voters go to the polls 3-fold over younger voters, the Obama administration should expect a huge blow back from older Americans struggling to make ends meet.

This entry was posted in News, Poverty, President Barack Obama, Social Security and tagged , , , , . Bookmark the permalink.

24 Responses to No COLA Increase for Social Security Benefits

  1. MichaelTAtheist says:

    Well I guess giving Social Security recipiants a raise would cut into the massive amounts of money that Obusha has to fight his useless wars………….. F you Obusha!

  2. Woodcliffe says:

    Our local utility just got approval from the state to up our monthly electric rates 11%.

    Gas prices are on the rise here and the co-pay for my regular doctor visit leaped from $20 to $30.

    So I am fascinated how the Obama administration can claim there’s no inflation? Where? On Wall Street? I know on Main Street, prices keep going up, and up, and up. I guess Obama’s jewel in the crown, the war in Afghanistan is more important than us.

  3. feminazi says:

    I can hardly wait to vote Mr. Obama and his team out of office in 2012. I don’t care what an inflation index says or doesn’t say. Each month, my bank account goes close to zero and I live frugally. The Democrats have failed seniors on every level.

  4. Brigadoon says:

    Maybe seniors and the disabled can pay for food with 3X5 pictures of America’s first black president grinnin’ ear-to-ear like a fool on a street corner in Detroit?

  5. fran says:

    Two things:

    “If you’re the ruling party, this is not the sort of thing you want to have happening two weeks before an election.”

    1- This sucks big time, but *throwing the bums out*, with the idea that the republican party of NO might be any more kind re social services is delusional.
    Out of the frying pan, into the fire.

    2- We’ve got wars to pay for!
    Thanks for paying into Social Security all your lives suckers!
    Back into the “let them eat cat food” mentality.

    Hope they make lots of room in the jails- when the mandatory buy-in of private health care kicks in, people may opt to go for the free housing, food & medical care they can get while incarcerated.

  6. Peace Nick says:

    I will be interesting to see how large the Congressional pay increases will be for 2011?

    Just one more example that Barack of Honolulu isn’t ready for primetime. He’s a smallish senator who has yet to learn the basics about politics. Like don’t fuck with the seniors.

  7. Rinaldo says:

    I’m just dumb-founded by Obama’s lack of attention to the senior population. Every step of the way, his administration has ignored or snubbed them. Health care bill? How will we pay for it? Well… we’ll just cut 500 billion from Medicare! Now, for second year in a row, no increase in social security payments (something which has NEVER happened until Obama was in the white house).

    Maybe seniors would accept this if everyone else was being cut .. but it seems there is money for all sorts of other things, in fact record levels of spending to stimulate the economy.

    I’m not a senior … yet … (but I’m 53 and will be one soon).

    If I was a senior today I would be really pissed off!

    The people over 65 today are the group LEAST responsible for current economic difficulties, and yet they are the group that has received the least consideration by our government!

    Bail-outs for everyone … except Grandma and Grandpa.

  8. DMason says:

    I don’t know what Obama can do about unlinking the COLA from the inflation index. But, as consumers are hit hard by higher prices — especially, the retired and disabled, you would think his team would have had a plan in place to deal with this before now. Even Bush understood the power of the senior voter. Obama’s team are amateurs in a sea of political professionals.

  9. lea-lea says:

    I think I’ve said this before but, my brother and I send our grandmother $50 each every month to help her make ends meet. Our parents pay her utility bill.

    My grandmother worked her entire life and now, at the age of 93, can’t make it on Social Security alone.

    I guess President Obama thinks my grandmother can be tossed out with the trash, another burden on the government, who is costing them money they can use for the military. Sorry, Charlie, but this isn’t how it works and I predict the president won’t get it until the voters give him a pink slip in 24 months.

  10. carmil says:

    I understand Congress members got a nice raise this year. Hopefully it will be the last one these people get.

    How one can say there is no cost of living this year must have their heads in a ditch. Utilities, gas, food, all up. And I don’t know about the rest of you, but I like to eat.

    Let’s vote them out.

  11. Rachel says:

    Lea Lea — I honor the fact you and your brother take care of your grandmother. I wish more people cared about their elders so generously. About two years with no Social Security COLA, well, President Obama is going to pay dearly for this in the midterms and then in the general election in 2012. People over 50 are very angry and they plan to vote the bastards out of office, and yes, this includes the president.

  12. Rem says:

    I know allowing Republicans to govern will lead to the US becoming third world within a generation, or less.

    However, with leadership like Obama’s, we’ll be there in thirty years.

    I’m to the point where I just hate this man. When I see his face, I want to throw a tomato at the picture. When I hear his voice, I hear broken glass.

    I know me and I won’t be able to vote for him in 2012. He is just such a douche-bag.

  13. Seabec says:

    Executive and Congressional salaries should be tied to an index of accomplishment based on campaign promises kept and legislation passed each session.

    No president and no member of congress should be able to increase their salaries.

    Not providing a COLA to SSI and SSDI recipients is simply unconscionable, as prices for everything keep spiraling upward.

  14. Arizona Leatherneck says:

    I hear you, Rem.

    Not very long ago, hearing President Obama speak was a delight. I was so over the failed policies of George W. Bush. Obama was a breath of fresh air.

    Now, I just turn the channel when I hear him out on a campaign stop whooping and hollering, and getting all ghetto with the poor folks. He’s a sham-what-am, and I can’t believe I let myself get fooled by this slippery brother. It won’t happen again.

  15. Jolly Roger says:

    A great majority of the Klanbaggers are social security recipients, so I’m not sure how much difference this actually makes vis-a-vis actual voter turnout.

    On a crueler note…. these freeloaders are always pissing and moaning about GUBMINT spending. Here’s a wonderful chance for them to get behind some spending reductions.

  16. Conejo1982 says:

    My parents plan to retire in 2012. My dad will be 68 and my mom 65. They’ve had it.

    This announcement will piss them off BIG TIME.

    When it comes to the Midterms, I plan to vote all of the incumbents on the ballot out of office. Democrat or not. If you’re at the party, it’s time for you to go home and give someone else a chance. I’ve had it with all my elected officials including President Obama.

  17. DMason says:

    This will lead to Obama losing the senior vote in 2012.

  18. Jim says:

    How soon until Congress gives itself a raise?

  19. Rinaldo says:

    I have another bone to pick, and was reminded of it just now, because it just aired on TV…. have you seen the ad with Andy Griffith in support of the health care bill? I don’t think I’ve EVER seen anything so humiliating, he comes across as a doddering old senile person in support of the bill. Frankly, I find it offensive! Are there any over-65’s here that can comment on this? Do you like the ad?

    I know this isn’t exactly on topic here, but I’ve been seeing this ad over and over for weeks here in NJ and it is aimed at retired people.

  20. Randy Arroyo says:

    I find it curious that SSI and SSDI recipients won’t get a cost-of-living increase for a second year at the very moment Obama seated his “cat food commission” to examine ways to delay accessing benefits and shorting the amount of benefits recipients will receive in the future. Maybe I’m paranoid but I have to wonder if this is Obama’s way of getting people used to SSI and SSDI going away completely? Maybe impeachment isn’t such a bad idea after all?

  21. Thai Noodles says:

    Obama has declared war on retired Americans.

    Under his leadership, the Feds pour trillions into the coffers of banks and Wall Street firms, but yet can’t find spare change to give seniors to help them stave off poverty by increasing their retirement pay.

    This president should be impeached. He’s a tool of Wall Street and the military, industrial complex. He doesn’t give a shit about anyone but himself.

  22. carmil says:

    Rinaldo, I agree with you about Andy Griffith. And also those other TV ads showing older people doddering around. I realize some people have poor health, but why exploit it?

    My husband and I are way over 65, and we comment all the time about the insulting way older people are portrayed. To be fair, we are in excellent health and very active, so maybe we are not in a position to comment. Still, if we live long enough, our day will come (but you won’t see me on TV).

  23. Noreen LaVallo says:

    First of all, stop blaming Obama, he did not cause this. Secondly do not vote Republican as it was those fellows who decide that the CPI should not include food, heat, medical costs, utilities such as electric, phone, cable and heat….start calling your representatives until their ears bleed.

  24. Raymond Beck says:

    Who is the Representives in Portage County ? Ravenna, Ohio 44266
    I read last week that it was the Republican Congress that voted against the Seniors getting a COLA raise for two years since they charted 2008
    instead of the year before 2009 which the COA had dived way down . I am sick and tired of people I know sending me e-mails that President Obamba is so bad he has done alot of good for us I just wish he could help the seniors who have worked hard all of their lives and need the COLA to keep up with gas, food taxes, etc which always increase Most of the e-mails I recieve are from Republican Seniors that do not realize who voted against their raises what a shame!

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