Recent government inflation data shows that this year’s inflation is decreasing. That only means a Lower Cost of Living Adjustment in 2024 for Social Security Beneficiaries.
Social Security 2023 Inflation Is Cooling. Lower COLA For Social Security Beneficiaries Is Expecting For Next Year (Photo: The Motley Fool)
The current drop in inflation will result in Social Security beneficiaries buying power decrease next year
Millions of Social Security Beneficiaries have to play financial catch-up since the hit they got from increasing inflation in 2022. Most Social Security Beneficiaries are still behind even an approved 8.7% COLA in 2023.
The situation will not be good because recent government inflation data shows that this year’s inflation is cooling. That only means a Lower Cost of Living Adjustment in 2024 for Social Security Beneficiaries.
The current drop in inflation will result in Social Security beneficiaries buying power decrease next year. If inflation continues to drop at the present rate, the COLA of Social Security beneficiaries for 2024 will be lower than 3%, Senior Citizens League stated.
Passing a law that will strengthen Social Security
The Senior Citizens League suggested that the basis of COLA on a consumer price index will depend on how seniors spend their money, like Consumer Price Index for the Elders.
Social Security Beneficiaries hope that Legislators from both political aisles must unite in passing a law that will strengthen Social Security instead of deteriorating it.