2013
For those senior citizens who still hold out hope for a generous increase in Social Security benefits, here are the recent assumptions from the Office of Management and Budget. I placed the text in bold.
As you can see, low inflation is going to generate modest COLAs at least for the next two years.
FISCAL YEAR 2014 MID-SESSION REVIEW
BUDGET OF THE U.S. GOVERNMENT
OFFICE OF MANAGEMENT AND BUDGET
July 8, 2013
Social Security.
Estimating changes reduce outlays for Social Security by $3 billion in 2013 and by an additional $85 billion over the next 10 years. Reductions in 2013 in both the Old Age and Survivors’ Insurance (OASI) and Disability Insurance (DI) programs are primarily due to lower-than-expected numbers of beneficiaries in recent data. Lower spending in both programs in 2014 and beyond is due primarily to lower inflation and therefore lower cost-of-living adjustments (COLAs) in 2014 and 2015 than were assumed in the Budget. Relative to the Budget, the projected COLA decreases from 2.2 to 1.1 percent for 2014 and from 2.2 to 2.1 percent for 2015. Technical changes partially offset the lower spending due to economic factors, driven by upward revisions in the OASI program to account for improved mortality assumptions among the elderly.
QUINNSCOMMENTARY 
congress should be limited to the same cola increases….
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Congress had no raise from 2009 to 2013 and this year between .5% and 1.0% only. The idea that members of Congress are overpaid is a myth. While some may be incompetent or simply not doing their job, the answer is not lower pay, we should just fire them. Instead, they get re-elected year after year. So whose fault is that?
Dick
Richard D Quinn
Blog http://www.quinnscommentary.com Twitter @quinnscomments
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Term Limits PLEASE!!!! Maybe they should get there raises based on Performance like we had before retirement. Reduction based on Non-Performance might even be better.
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Absolutely dead on. They need to feel the same pinch we do then fire all of them. How ridiculous to think that we are so disabled that we cant think? I don’t know what area those that say there hasn’t been a real increase in the cost of living this past year are from but they certainly do not hail from dfw, tx….or maybe 4.00 a gallon of gas is nothing there, or 3.00 for a loaf of bread but I know that there are many seniors and many people who are not disabled, just unemployed, that go hungry. People you never think. I know because Ive fed them, not to pat myself on the back but some of these “educated governees” need to get back to basics or we need some real voices in those seats that haven’t forgotten where they came from and how they got there….Sorry yal..Im just fed up with our government. I love our country, I just wish those in power would just stepp up to the plate for us. forget overseas…take care of our own.
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PRICES ON FOOD DO NOT SHOW A BIG INCREASE…BUT…CANNEd,frozen ,boxed foods have decreased in ounces ,
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Very good point. Even a “pint”of ice cream is now only 14 oz. Nobody measures inflation when prices are stable, but what you get for your dollar is decreasing.
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Oh tank you for bringing up m pet peeve. Have notified many cmpanies of my displeasure at the constant New pkg same product only a few more ounces are shortened, i.e.coffee cookies breads and altered butters and margerines etc etc. milk and butter remain constant by law.. we used to have standards for quantitie not anymore what ever they want to do. toilet paper i.e.is 1 to 2 inches shorter than holders, so they slide around and don’t tear well and more is used do to that width loss. sent letters to congressionals with no responses…..telling them that mfgrs have their hands stealing my change out of my pockets!!!!!
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Hopefully my two largest annual espenses,real estate taxes and my health care costs only go up 1 % this coming year. If that happens I will be shocked. Again retirees living on fixed income will fall further behind. Perhaps Obamacare will ” reduce” my Heath care costs!
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