WALKER, Mich. — Right now, about 68 million Americans collect social security. Many count on the cost of living adjustment (COLA) to keep pace with expenses, and some worry this year’s increase won't.
At the Senior Neighbors Walker Center, Wednesday morning was about Christmas joy, but joy wouldn’t necessarily be the right word when talking about social security.
“I don't know how people do it on just social security,” said Susan Bergers.
“It's not enough to live on,” said Carolyn Strait.
This year’s COLA is 2.5%, which is lower than last year’s increase of 3.2% and 2023’s increase of 8.7%.
“I was hoping it'd be big again, or a larger one like we got last year,” said Jackie Bancroft.
“Real inflation is actually over 3% right now. So, a cost of living adjustment of two and a half percent is below real inflation,” said Riley Planning and Investments Co-Owner Jenna Riley.
She believes that the adjustment should at least match inflation, especially for those who just rely on that check.
“If we don't have accurate cost of living adjustments that keep pace with inflation, it really starts to reduce the purchasing power of a large subset of our country of people that need it,” said Riley.
She says the average person’s monthly increase will be just over $40.
“Everybody will notice an increase in their social security benefit come January,” said Riley.
She says another thing eating into COLA is rising Medicare premiums, which will increase 6% next year.
“I would say the average person is paying around $200 a month in medical benefits, whether it's between, you know, Part B and Part D for Medicare,” said Riley.
Susan Bergers says living on a fixed income can be hard but remains optimistic.
“I'll tell you what, I make it. I'm single. I do make it, and God is good. God's been good to me. So, I'm not going to complain,” said Bergers.
Senior Neighbors says if you are an older adult struggling to make ends meet, they can connect you with resources to help. Visit their website for more.
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