In the case of Social Security, a new bill may provide an annual increase of $2,400 for retirees.
If a new plan proposed to Congress succeeds, Social Security recipients could receive an annual raise of $2,400 in payments. This is good news for retirees, who have had their
cost-of-living increases cancelled out by rising inflation.U.S. Representative Peter DeFazio (D-Oregon) and Senator Bernie Sanders (I-Vermont) reportedly introduced the Social Security
Expansion Act on June 9. In accordance with the legislation's provisions, all existing Social Security recipients and those who reach the eligibility age of 62 in 2023 would be
eligible to receive an additional $200 in their monthly payments.Every recipient's regular payment would be increased under the new law to help relieve the burden on the government
A $200 increase per month would amount to a 12% increase in the average monthly Social Security benefit of $1,658.The bulk of seniors' income comes from Social Security, according
to Martha Shedden, president of the National Association of Registered Social Security Analysts. A difference of $200 per month can be life-changing for many.The bill would make a
number of modifications to the programme itself, including increasing the monthly payment. One option is to switch from using the CPI-W to the CPI-E for the purpose of calculating
annual cost-of-living adjustments for retirees (CPI-W).Furthermore, the payroll tax portion of the Social Security system would be increased to include any income over $250,000.
The Social Security tax is now withheld on wages up to $147,000.Even if the plan doesn't make it through Congress, changes to Social Security are expected so that it can continue
to meet the needs of beneficiaries in the future. Shedden expressed confidence that improvements would be implemented.
It's not certain that this bill will become law, but momentum is building.