Medicare

Seniors’ Security Act Re-Introduced to Protect Against Rising Healthcare Costs. More is just never enough😕

The following legislation is not going anywhere, but it’s a good example of out of touch liberal politicians. Just add more and more to our growing liabilities and debt.

Under current law Medicare premium increases cannot lower a Social Security check. In other words, a premium increase cannot exceed a benefit COLA. No COLA; no premium increase. This happened in 2017 so many Social Security beneficiaries kept paying a premium of $109 when the actual premium was $134.

But that premium freeze must be made up so when there is a COLA, the premium is adjusted up to the amount of the COLA. In 2018 paying the $134 will consume most if not all of the COLA and that’s without a premium increase.

The Act described below proposes to change that. Premiums would no longer be paid in full by a COLA thereby shifting the premium shortfall to others or further debt.

Changing the COLA CPI to the CPI-E is no guarantee of higher increases. In some years it is actually lower that the CPI-W which is currently used.

According to a press statement from Norcross, the Seniors’ Security Act would ensure that cost-of-living increases do not get “eaten up” by rising health care costs. Specifically, the plan would ensure seniors never pay more than 30 percent of their cost-of-living adjustment (COLA) into Medicare premiums. The Act also recalculates cost-of-living adjustments (COLAs) so future changes would be based on the price of goods and services seniors actually buy, a formula known as Consumer Price Index for the Elderly (CPI-E).

Source: Seniors’ Security Act Re-Introduced to Protect Against Rising Healthcare Costs

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2 replies »

  1. .

    You need not worry… as you say, the bill is going nowhere.

    The current House GOP leadership is too busy eliminating
    the extra over 65 tax deduction and increasing the tax rate
    on the poorest taxpayers from 10% to 12%.

    No one is addressing the outrageous Social Security tax
    that was passed decades ago targeting those on SS over
    a certain income… income NOT indexed for inflation and
    never increased due to inflation…so that now the SS tax
    has become a tax burden on low income SS recipients.

    .

    Like

    • ATOSSA – Since my wife and I will have $34,212 in total income from SS and military retirement and pay zero federal income tax. How is this a burden? What do you consider is low income? None of our SS will be taxed until we exceed $39,000 per year in total income. With the low COLAs it will be many years before I will have to pay any federal income tax. Even at $50,000 total income the tax on SS would be $547, less than $50 per month.
      Not much of a burden if you ask me.

      Like

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