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Social Security Increase...Not In 2011

As if voters don't have enough to be angry about this election year, the government is expected to announce this week that more than 58 million Social Security particpants will go through another year without an increase in their monthly benefits.

It would mark only the second year without an increase since automatic adjustments for inflation were adopted in 1975. The first year was this year.

The cost-of-living adjustments, or COLAs, are automatically set each year by an inflation measure adopted by Congress back in the 1970s. Based on inflation so far this year, the trustees who oversee Social Security project say there will be no COLA for 2011.

The projection will be made official on Friday, when the Bureau of Labor Statistics releases inflation estimates for September. The timing couldn't be worse for Democrats as they approach an election in which they are in danger of losing their House majority, and possibly their Senate majority as well.



Posted on Sunday, October 10 by Registered CommenterWise Owl | Comments Off