Obama and Social Security

[jazzimov]

ONLY in DC would a reduction in INCREASES be called a "cut".

Let's be honest, most of us don't know what COLA is or the difference between current CPI or Chained CPI actually means. We have had alarmists telling us that going to Chained-CPI means that anyone on Social Security is going to be eating dog food to survive.

That's just alarmist bullshit designed to push your buttons to convince you to Hate Obama and Vote for Green Party or some other alternative candidate.

Let's talk about Social Security and COLA, or Cost Of Living Adjustments.

We did recently survive an out-and-out attack on SS. There were Neo-Cons who wanted to dissolve it completely in favor of 401k- type plans. However, although these factors have been greatly weakened they STILL want to get all those funds that are paid into SS. But, they do bring up some good points, although inadvertently.

Congress has been borrowing from the SS fund for decades. When the SS actually needs these funds, then the Congress had better pony up the dough. THAT's the "crisis" they keep talking about - SS is fully funded, but Congress has been borrowing from that fund until it's almost empty. So Congress had better pay it's debts. But the Republicans would rather not.

Now, let's talk about COLA. Currently, the situation is fucked-up. For instance, the COLA is based on the 3rd fiscal quarter ONLY. We recently had 2 years in a row that had increases in inflation in 3 out of 4 fiscal quarters. nut the COLA only considered the 3rd quarter which happened to be the only quarter that inflation went DOWN.

So, even though the inflation went UP for the entire fiscal year, it went DOWN for the only quarter that mattered to COLA figures. So, even though prices went up for the year, Seniors on SS didn't see any compensation - their paychecks stayed the same. For 2 years in a row. Despite increases in inflation.


So, in many ways, a Cost Of Living Adjustment (COLA) that is actually "chained" to the Consumer Price Index (CPI) makes much more sense. Although it is estimated that this different way of calculating the yearly COLA would actually cost less money, no-one knows. It might actually cost more.

As an old-timer who is about to retire and to whom the current SS system is VERY important, I can tell you that the current calculations for COLA SUCKS!

We need an honest discussion about this. But all this radical talk about "grandpa/grandma eating dog food" DOESN'T help!

Please, let's talk about helping Seniors rather than USING them to make some kind of anti-Obama "point" that isn't even relevant.

Yeah, that's right - I'm calling many of you out that "claim" to support us Senior Citizens - because you don't. You have no idea.

EDITED OP name of thread to get more responses.

[Wellstone ruled]

1. Secret to any COLA is what's in the basket.

The basket has to contain real goods and services,not some hypothetical or synthetic gobble-gook. Yes,lets protect all our Seniors. Notice the age group that is screaming and yelling about all of these cuts. Ryan is out there tonight touting his 55 and over shit again,the last vestige of hope for the Rethugs angry old white guys,and his Presidential campaign kick off for 2016. These slugs don't quit.

[dtom67]

2. another obama as sacred cow post...

There is this thing called inflation and it is real. Which is more than I can say for this "folk hero" Obama myth.
If you work for $10 an hour in 1970 and 30 years later you are making 10.50 per hour, you have had a wage cut. It is basic economics.
Just because Obama is a democrat, that doesn't. Automatically make him a good president.
its pretty lame that we call on repubs to look at their candidates honestly(even though we know that they will not) instead of along party lines, yet many of us cannot do the same.

[TheKentuckian]

3. We all are going to need the program and we are all paying for it. We have a stake

and you are full of double talk or fail to understand that the erosion of inflation is a real world cut in purchasing power.

Sure, the current COLA sucks and so it would seem improvement would be in order rather than a downward spiral in purchasing power, ever seeking to downshift to a lower standard of living.

You are cheering diminishing returns until all value is destroyed over time. Possibly in a vain effort to "make sure you get yours" or loyalty to a personality, I don't know the rationale but lets dispense with any fairy takes that this will improve the lot of seniors today or certainly tomorrow.

[JDPriestly]

4. I am now retired. I do not like the chained CPI.

Productivity is rising. Prices are rising. Neither the paychecks nor the Social Security checks of ordinary Americans are rising to meet the rise in productivity and prices.

The only incomes rising in sync with the rises in productivity and prices are those of the CEOs of international corporations and Wall Street swindlers.

I oppose the chained CPI. So will the author of OP once he retires and understands how low the Social Security benefits are to begin with and how important it is to keep up with inflation, especially the inflation in the costs of medicines, medical care and food.

[cali]

5. What a steaming, reeking pile of shit.

Maybe YOU know very little about COLA or the chained CPI, but that doesn't mean that others here are as woefully ignorant, dearie.

Guess what? There have been lots and lots of right wing attacks on Social Security as well as other programs. I believe that taking an extreme stance is part of a deliberate strategy on the part of the right in order to force concessions. And it's not an ineffective strategy either.

Some of us don't engage in moronic, simplistic Manichean "thinking" of the sort found in your OP. One can disagree strongly with Obama on issues and not only NOT hate him but still support him on other issues.

Pathetic.