No Social Security Cost of Living Adjustment for 2010
Because of low inflation, more than 57 million Americans with Social Security will not see a cost-of-living adjustment (COLA) in 2010, the Social Security Administration announced. This will be the first year without an automatic COLA since it went into effect in 1975.
The Department of Health & Human Services has not yet announced if Medicare premiums will change in 2010. If there is an increase in the Part B premium, a "hold harmless" provision will protect about 93% of Social Security beneficiaries from paying the higher amount.
On Sept. 24, the House passed legislation that would prevent abnormally large Part B premium increases for the remaining 7% who would shoulder the entire beneficiary obligation. President Obama is calling on the Senate to enact the same legislation. The president also said he would support a $250 cash payment to all Social Security beneficiaries to offset the lack of a COLA.
<< Return to Aging News Main
|
