Has your Social Security 2021 COLA of 1.3% been eaten up already?

Question

Since 2000, Social Security buying power has decreased by 30%. In my opinion, the Consumer Price Index for Urban Wage Earners is falsely kept below the actual rate of inflation. My lousy COLA of 1.3% (about five dollars) was totally eaten up today by Spectrum ISP raising the monthly fee $5. just for internet service alone. This leaves nothing for medical premiums (the wife's plan went up 100%), Food, Housing, Transportation, Prescriptions, etc. People have paid into the system all their working lives and now the IRS counts 85% of the benefit as taxable income. WTF? Social Security has evolved into a plan where the government pays itself through your account.

Update:

Wow! Lots of wool pulled over eyes here.

Update 2:

Sorry, no answers that make any sense. Since the year 2000, the buying power of Social Security had declined by 33 percent. No favorite answer award given.

StephenWeinstein · Answer

In 2000, most social security recipients didn't have Internet; when social security was created; there was no Internet.  It's not that you can't afford what you once could afford with social security; it's that you're spending money on more things, like Internet service, so you have less left for food.  (You are right about medical premiums being a problem, but most recipients are getting Medicare Part A without paying a premium, and pay only for Medicare Part B and a medigap plan, or have a Medicare Advantage plan.)

G · Answer

Energy prices and raw materials are down. Bulk agriculture and commodities are down. You’re just buying the wrong things, like medical insurance. Oh yeah that’s the law; I guess you are f’d.

STEVEN F · Answer

The cola is theoretically based on inflation. To the extent that is true, it is determined by how much has been eaten up when it is set.

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Has your Social Security 2021 COLA of 1.3% been eaten up already?

3 Answers