Biggest Raise for Social Security, SSDI, SSI, VA Beneficiaries – Social Security Benefit Raise

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Biggest Raise for Social Security, SSDI, SSI, VA Beneficiaries - Social Security Benefit Raise
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The biggest raise in history for fixed income beneficiaries of Social Security, retirement, disability, SSDI survivors, SSI and VA. I have all the details and everything you need to know right here on this topic. as information is changing very fast right now. But as your one and only daily advocate, I am very much dedicated to doing all the research and the boiling it all down into these short topics so that you can get the latest details hot off the wire each and every day as this information is being released.

We are looking at the biggest raise in history for about 70 plus million beneficiaries of all of those benefits I mentioned at the beginning of the topic. This is actually a really big deal, especially during this time right now, as many people right here in this community, as well as a lot of fixed income beneficiaries of all of those benefits I mentioned earlier, are waiting for an additional raise to your monthly benefits because let’s be real. It is going fast right now as far as the money it comes in and it goes out the door very, very quickly. At the same time, a lot of us are waiting for Congress to do something a little bit more longer-term right now as far as implementing a permanent benefit raise for a lot of people, which again, we can talk about that more here in just a second. As far as the latest details on that in regards to the Social Security 2100 and, of course, the SSI Restoration Act as well, both of which do implement benefit raises for millions of beneficiaries, which is actually a really good thing and also very encouraging.

However, I do want to talk about some new information that was just released a little bit earlier today and how this would translate into the biggest race in history for millions of beneficiaries. Yeah, a big, big deal. Right? All right, So let’s quickly talk through all the details on this and talk about what this actually means for many of you right here in this community.

Now, here’s the thing. I do know that a lot of you right here in this community are living on a fixed income from those benefits that I mentioned earlier. Well, as a result of a report and some new information that was just released a short time ago earlier today, we now have a glimpse into the future and what it may look like for your monthly benefits this year and what it may mean for a raise to your monthly benefits. Let me tell you this much. The last time that fixed income beneficiaries received a raise anywhere near what we’re looking at now was way back in the early 80s of 7.4%.

However, considering the information that we have out there right now, what is currently going on, we are likely going to be significantly higher than 7.4% in the event of a raise to benefits. Now based on the new information that was released a little bit earlier today, the CPI data consumer price Index. In other words, the inflation data for last month came in at 8.5%, which is actually 1.2% month-over-month increase. That’s massive. Now let me tell you this into perspective.

Generally, the Federal Reserve goes for about two to two and a half percent inflation over the course of the entire year. Well, guess what? Just in the last two months alone, we’ve had inflation over 2%. So essentially, in two months time, we got an entire year’s worth of inflation just in two months. That is huge, It should not be this fast. Inflation should not be moving this quickly and this much higher. So here’s what’s going on here. As a result of the inflation data, we all recognize that the raise the annual raise to monthly benefits for all of these beneficiaries is pegged off of the inflation data. Therefore, based on the most recent report that was just released earlier today, coming in at 8.5%, we are likely going to see a raise to your monthly benefits somewhere, likely around that eight to eight and a half percent range.

Now you might be thinking, where are these numbers coming from? And let me actually break this down for you a little bit more clearly for you. So here’s the deal. The annual cost of living adjustments or the annual raise to your benefits. And yes, it is a permanent raise also that is actually announced in October.

Now it’s based on the inflation data that comes out in July, August, and September. Q three throughout the year, right? Well, those numbers are compared to the previous inflation data from the year before. They run it through their calculations. And it gives us a number as far as what the cost of living adjustment would be for the following year.

Now here’s the thing. Based on everything that I’ve been reading so far today, the analysts, the experts, everybody that is the experts on this situation, as far as the inflation, they’re actually anticipating that this 8.5% number that we just got earlier today is still the uphill climb. Right? So we’re still going up the mountain. We haven’t even hit the summit yet.

That’s what they’re anticipating. So they’re actually anticipating that this inflation will likely peak out sometime in summer. Now, again, that’s just what they’re anticipating. As of right now, things could change very rapidly. It could come sooner, it could come later.

But that’s just what they’re anticipating. As of right now, the peak would come sometime in summer. However, let me break that down for you, because that may actually be a good thing when it comes to all of these millions of fixed income beneficiaries, the 70 plus million beneficiaries of those benefits I mentioned earlier, Social Security retirement, SSDI survivors, SSI and VA beneficiaries. Now, here’s why. If this inflation does actually peak at over 10%, which is what they’re still anticipating over 10% sometime in the summer, that means that we could be seeing potentially a peak sometime in May, June, July, August, something like this around the 10% or even higher range.

Well, here’s the deal. Like I said earlier, just a minute ago, the inflation data is gathered from July, August, and September to determine the cost of living adjustment for the following year. Let’s just say that inflation hits 10% in July, which will actually be reported in August. However, that would be the first month in which that they are gathering data to determine what the Cola is going to be for 2023. If it comes in at 10%, that is a 10% number that we get to kind of stick in our little pocket and just think, OK, that is reading number one that we need to put into this equation.

We need two more readings. Well, let’s just say that that is the peak in July, 10%. Let’s just say in August, inflation starts to go down and it comes in at say like 9.2%. Right. So it falls by zero, 8% down to 9.2%.

Again, I’m just giving some numbers here to put this into perspective. So the inflation comes in at 9.2% for August, again, very high. Right. But it’s still going down. Therefore, we get to take that 9.2%, put it in our pocket along with the 10% from July, and then we get to continue on because we need one more reading.

Now, again, going on with this example, let’s just say that we continue on and inflation continues to go down in the month of September. Let’s say that it drops all the way back down to 8.7%. Right. So it goes down another .5% another half of a percent in the month of September. Well, therefore, during those three months, July, August, and September, we have a reading of 10%, we have a reading of 9.2%, and we have a reading of 8.7%.

Right. So then they run them through their calculations and it gives us the estimate as far as what the Cola will be for 2023. So here’s the deal. According to the analysts, the experts, all of these people that are watching inflation right now and all of these numbers, considering that they’re thinking that this thing is going to pop out and peak sometime in summer, this could actually be a really good thing because the timing of this inflation surge and when it May peak may be perfectly timed exactly in those three months, July, August, and September, when all of these millions of beneficiaries that I mentioned just a minute ago once again, are waiting for the actual inflation data to come out for those months, and then it actually determines what the raise is going to be for 2023. Well, everything that I’ve been reading so far today is actually suggesting that this is probably going to be the biggest historic raise for millions of beneficiaries going here in 2023 as a result of the inflation from 2022.

So the inflation is not a good thing. Let me just tell you that much, regardless of how much that raise is going to be to our benefits. Yes. At the end of the day, it’s going to be exciting, right. It will be nice to finally get a little bit higher benefit.

But at the end of the day, like I’ve mentioned previously in other videos, it is all pegged off of inflation. Therefore, if inflation is going at, say, eight and a half percent, 9%, 10%, and they give us a raise of, say, eight and a half percent of a Cola raise, yes, it’ll be a nice big raise. But at the end of the day, remember, it is a cost of living adjustment. So the whole purpose behind the cost of living adjustment is basically to adjust our benefits so that we are keeping up with the cost of living. Right.

So not necessarily to get us ahead in life or to help us out in any way, but rather just to keep us on par with what inflation is actually doing. Right. Kind of makes sense. So let me reiterate. This is a cost of living adjustment.

We want to help get you ahead in life adjustment. Right. It is certainly not a getting ahead in life type of adjustment, but rather an adjustment for the cost of living because that kind of makes sense. So it’s kind of unfortunate how this whole thing calculates out and how the whole thing is adjusted for, but rather it will help us actually adjust our benefits. So based on what I’ve been seeing, they’re actually anticipating this is likely going to be a historic raise.

Now, here’s the thing, I want to point this out one more time. The last time that we saw a raise anywhere near this was well, actually this year, the 5.9%, which was the last time we saw a raise this big was back in the early 80s. But prior to that, the biggest raise before that was actually 7.4%. Once again in the early 80s, which again, if we’re talking 7.4%, that’s going to be small potatoes compared to what we’re actually going to be looking at for 2023. Based on what I’m seeing here, we’re going to be significantly above that 7.4%.

Now, to be completely fair and to take the other side of this, just in case you never know what’s going to happen here in the future, just in case inflation does come down significantly sometime before July, August and September. Well, then, of course, we’ll have to adjust accordingly. But based on everything that we’re seeing as of right now, it’s likely going to be significantly higher than that 7.4%. But again, anything can happen here over the next few months before we actually get to those very critical and very important months that actually determine the raise for Social Security beneficiaries, all the benefits I mentioned earlier. Right.

But then again, as I just said, a little glimpse into what I was thinking, trying to think ahead of myself a little bit there. Yes, of course, the Medicare Part B premium once again would also likely be adjusted significantly higher as well, even though this year it came in at 14.5%, it likely wouldn’t be 14.5% again simply because the massive raise that came out of Medicare Part B premium this year for 2022 was actually in part because of that very expensive Alzheimer’s prescription which we’ve talked about in previous topics, which, by the way, still haven’t seen any updates on a potential refund or reduction to the Medicare Part B premium going forward through the rest of 2022. As I do get more information on that, of course, I’ll keep you posted. I’ve been looking everywhere. I have not seen any updates or announcements on that quite yet.

But am I surprised? Honestly, I’m not really surprised. It’s kind of interesting how that works, right? It’s always kind of funny how they’re very slow to come out with announcements that would have any kind of benefit for us, right? Yeah, just seems like kind of the system.

Anyway, I’ll keep you posted as I do get more details, but when it comes to a potential raise for benefits going forward in 2023, it’s looking like we’re looking at potentially the biggest raise in the history of the world when it comes to all these beneficiaries. It’s a good thing, but rather at the same time, it’s also kind of a bad thing, right? Just because it is pegged off of inflation. Anyway, as I do get more details on any of this, of course, I will continue to keep you posted. I wanted to come back, lay this all out for you, let you know what this means.

As far as the latest inflation data that was just released earlier today. By the way, if you didn’t see that video from earlier, I would highly recommend going back and checking that out. I have all the details for you, as well as a new announcement that was just talked about where a millions of people will be looking at a $2,000 stimulus check. So some pretty exciting stuff there for those millions of people. But we’re also continuously waiting for Congress to come out for any type of announcement on simulation checks, direct payments, anything else that may help us out during this very difficult time with rapidly rising prices.

So again, please enjoy your day. I hope this one helps you and kind of shakes it all out, lets you know what’s going on out there, as well as describe the whole system and how this whole thing breaks out and kind of how the whole thing actually works here when it comes to raises for benefits. But this is the information that I’m finding out there as I do get more, of course, I’ll be right back here for you breaking it all down and to help you out in any way that I possibly can. Share this with your friend’s family on social media as well. All right, thanks again. Enjoy

Stay safe out there and I’ll catch you again later in the next.

 

 

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