Campaigns for Senior Stimulus Check Goes Unheard
While Speaker Nancy Pelosi and the rest of Congress have moved on from contemplating another COVID-19 stimulus check for Americans, thousands of senior citizens have petitioned for help.
An advocacy organization has swiftly amassed signatures on a petition calling for $1,400 stimulus cheques for Social Security recipients.
Despite next year’s big Social Security increase, the nonpartisan Senior Citizens League says direct payments are necessary to keep up with inflation and debt.
Inflation Is Reducing the Purchasing Power of the Elderly.
Many older people are facing financial difficulties, therefore a 1.3 percent raise has been made to their Social Security cost-of-living allowance this year.
Food prices rose 4.6% year-on-year in September, the highest monthly increase since December 2011. Prices of housing and energy are increasing.
Seniors will get a 5.9% increase in Social Security in 2021, the greatest in 40 years, due to this year’s strong inflation. The average monthly pension for retirees will be $1,657, up from $1,565 last year.
But the increase may be too late. After years of rising costs, the league believes the meager Social Security increase in 2021 would only add $20 per month to the average recipient’s monthly check.
The Senior Citizens League initiated a petition drive in September, urging Congress to provide a senior stimulus check. The petition is rapidly approaching 75,000 signatures.
All Forces Are Putting Pressure on Senior Budgets.
According to the organization, due to today’s higher pricing, seniors — who are primarily on fixed incomes — have started skipping meals and crucial prescription dosages.
There’s one more issue.
The hefty increase may push some older people into higher income brackets, making them ineligible for food assistance next year, says Mary Johnson of the Senior Citizens League.
Many seniors are already heavily in debt, and a modest benefit boost next year would basically maintain the status quo.
According to a recent study from Boston College’s Center for Retirement Research, cost-of-living hikes lag behind healthcare and federal tax increases.
When benefit taxation was originally implemented in 1983, just 8% of eligible households paid taxes on their benefits. The researchers estimate that 56 percent of assistance recipients pay taxes on their benefits now.
For now, a $1,400 check from The Senior Citizens League keeps seniors from skipping meals to pay for necessities like property insurance.
What You Can Do While You Wait for Congress to Act?
Even if more individuals have signed the petition since it was published in the first week of September, their requests may go unheeded.
Despite over 3 million signatures on a separate petition calling for the fourth wave of stimulus checks, Congress and the White House have failed to move.
For the time being, here are some steps you may do on your own to safeguard your finances.
- Take care of your debt.
Many people have relied on credit cards to scrape by during the previous year, but the high-interest rates will only make life more difficult in the future. Combining your debts into a single debt consolidation loan might help you save money and pay off your debt quicker.
- When purchasing online, never overspend.
How do you compare prices when there are hundreds of internet stores? Use the internet to search for deals that suit your budget, saving you time.
- Improve your mortgage rate.
At the moment, interest rates are at an all-time low; refinancing may save you hundreds each month and thousands over the life of your loan.
- Make a broad portfolio out of your spare coins.
Even if you don’t have a lot of money, you may profit from today’s booming stock market. You may invest your “spare change” from ordinary purchases.
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