AARP decries tiny cost-of-living adjustment to SSI benefits

After the Obama administration announced a small bump on Tuesday (Oct. 18) in cost-of-living adjustments to Social Security benefits next year, AARP officials are asking presidential candidates Donald Trump and Hillary Clinton to draw attention to such substantive issues that have largely been ignored heading into tonight’s final debate.

“As we head in to our final presidential debate, having largely ignored discussion of some major issues facing our nation, one issue that demands attention from the candidates and moderators is the future of Social Security,” AARP CEO Jo Ann Jenkins said in a statement. “And with (the) small 0.3% COLA increase announcement for Social Security beneficiaries, candidates have yet another opportunity to address this issue.”

On Tuesday, federal officials announced monthly Social Security and supplemental security income (SSI) benefits for more than 65 million Americans will increase 0.3% in 2017. The tiny COLA change will begin with benefits payable to more than 60 million Social Security beneficiaries in January 2017. Increased payments to more than 8 million SSI beneficiaries will begin on Dec. 30, 2016.

Overall, the maximum amount of earnings subject to the Social Security tax will increase to $127,200. The earnings limit for workers who are younger than “full” retirement age will increase to $16,920, or a benefit deduction of $1 for each $2 earned over that amount.

The earnings limit for people turning 66 in 2017 will increase to $44,880, or a deduction of $1 from benefits for each $3 earned over $44,880 until the month the worker reaches retirement age. There is no limit on earnings for workers who are “full” retirement age or older for the entire year.

Still, the AARP’s Jenkins said over the last five years, Social Security COLAs have remained small or non-existent at 1.7% or lower even though every cent can matter to beneficiaries and their families.

“After last year’s zero COLA, this year’s announcement doesn’t offer much help to the millions of families who depend on their Social Security benefits. As prescription prices skyrocket and Medicare premiums and other health costs increase, many older Americans have understandable concerns,” Jenkins said. “Along with many groups, AARP has also asked Congress to ensure that Medicare premiums and deductibles don’t skyrocket next year.”

Meanwhile, Jenkins and other groups are urging Trump and Clinton to focus tonight’s debate on issues that are important to Americans, such as Social Security, health care, the economy, the nation’s aging infrastructure needs and national security.

“In our final presidential debate of 2016, we urge the moderator to finally question the candidates on Social Security and get them to take a stand,” said the AARP leader. “Voters need to hear candidates’ positions on our largest and most important program before they cast their votes.”

Also, a poll of America’s mayors and council members conducted by the National League of Cities (NLC) found that a majority believe that both the Clinton and Trump campaigns have failed to sufficiently address top city priorities.

The poll, released on Tuesday, revealed that infrastructure investment is the most pressing issue facing cities, with 48% of respondents considering it their top priority. Infrastructure, public safety and the economy are the city priorities that NLC has advocated for as part of its Cities Lead 2016 campaign.

“It’s clear from our polling that America’s local leaders do not feel like their voices are being heard by the presidential candidates,” said Clarence Anthony, executive director and CEO of the National League of Cities.

“(Tonight), Hillary Clinton and Donald Trump will have their final chance to tell America how they will address the critical issues that cities care about. I look forward to hearing how each candidate intends to be a partner with cities by investing in infrastructure, improving public safety and strengthening the economy.”