The Ottumwa Courier

AP National

October 14, 2013

Social Security raise to be among lowest in years

(Continued)

Polina Vlasenko, a research fellow at the American Institute for Economic Research, projects the COLA will be between 1.4 percent and 1.6 percent.

Her projection is similar to those done by others, including AARP, which estimates the COLA will be between 1.5 percent and 1.7 percent. The Senior Citizens League estimates it will be about 1.5 percent.

Lower prices for gasoline are helping to fuel low inflation, Vlasenko said.

"In years with high COLA's, a lot of that had to do with fuel prices and in some cases food prices. Neither of those increased much this year," Vlasenko said. "So that kept the lid on the overall increase in prices."

Gasoline prices are down 2.4 percent from a year ago while food prices are up slightly, according to the August inflation report. Housing costs went up 2.3 percent and utilities increased by 3.2 percent.

Advocates for seniors say the government's measure of inflation doesn't accurately reflect price increases older Americans face because they tend to spend more of their income on health care. Medical costs went up less than in previous years but still outpaced other consumer prices, rising 2.5 percent.

"This (COLA) is not enough to keep up with inflation, as it affects seniors," said Max Richtman, who heads the National Committee to Preserve Social Security and Medicare. "There are some things that become cheaper but they are not things that seniors buy. Laptop computers have gone down dramatically but how many people at 70 are buying laptop computers?"

The cost of personal computers dropped by 10.6 percent over the past year, according the CPI-W.

That's a small consolation to Alberta Gaskins of the District of Columbia, who said she is concerned about keeping up with her household bills.

"It is very important to get the COLA because everything else you have in your life is on an upward swing, and if you're on a downward swing, that means your quality of life is going down," said Gaskins, who retired from the Postal Service in 1989.

------

Follow Stephen Ohlemacher on Twitter: http://twitter.com/stephenatap

Text Only
AP National
  • Senate likely to come up short on border bill WASHINGTON (AP) — A bill to deal with the immigration surge at the border appears headed for procedural defeat in the Senate as lawmakers trade blame over their inaction on the crisis. Days ahead of Congress' five-week summer recess, Senate Democrats

    July 30, 2014

  • House set to take up $17B VA overhaul bill WASHINGTON (AP) — With a new Veterans Affairs secretary in place and an August recess looming, Congress is likely to move quickly to approve a compromise bill to refurbish the VA and improve veterans' health care. The House could vote on the $17 bill

    July 30, 2014

  • Trafficking bust reveals worries over missing kids WASHINGTON (AP) — When FBI agents and police officers fanned out across the country last month in a weeklong effort to rescue child sex trafficking victims, they pulled minors as young as 11 from hotel rooms, truck stops and homes. Among the 168 juve

    July 30, 2014

  • The man responsible for Hilton's grand turnaround McLEAN, Va. (AP) — Nearly every weekend, Chris Nassetta is cooking in his family's oversized kitchen, outfitted with two commercial-grade refrigerators, three sinks and a deep fryer. These aren't small meals. Between his wife, six daughters, friends,

    July 30, 2014

  • What's a group selfie? Usie (pronounced uss-ee) NEW YORK (AP) — What do you call a group selfie? An usie, of course! As in "us." Pronounced uss-ee, rhymes with fussy. "Usies are a growing trend that I think have far more social value than selfies," said Michal Ann Strahilevitz, a professor of mark

    July 30, 2014

  • With Israel at war, US lawmakers give full support WASHINGTON (AP) — As the war in Gaza escalates, U.S. lawmakers are pressing the Obama administration to take no action that puts pressure on Israel to halt its military campaign against Hamas. Many even have criticized the administration's effort to

    July 29, 2014

  • Abuse suspect dead; two marshals, NY policeman hurt NEW YORK (AP) — A California man who skipped town after being accused of molesting a boy was killed and three law enforcement officers trying to arrest him were wounded in a daytime shootout inside a small smoke shop in one of New York's most bustlin

    July 29, 2014

  • Study: 35 percent in US facing debt collectors WASHINGTON (AP) — More than 35 percent of Americans have debts and unpaid bills that have been reported to collection agencies, according to a study released Tuesday by the Urban Institute. These consumers fall behind on credit cards or hospital bill

    July 29, 2014

  • Despite good news, benefit programs face problems WASHINGTON (AP) — Despite some good news, Medicare and Social Security still face long-term financial problems as millions of baby boomers reach retirement. Social Security's disability program is already in crisis as it edges toward the brink of ins

    July 29, 2014

  • 10 Things to Know for Today Your daily look at late-breaking news, upcoming events and the stories that will be talked about today: 1. ISRAEL-HAMAS WAR ENTERS FOURTH WEEK — DURATION, DEATHS MATCH FIRST CONFLICT Heaviest bombardment in Gaza yet as Israeli aircraft, tanks and nav

    July 29, 2014

Obituaries
Record
Facebook
AP National