Latest Social Security News
The Social Security program turned 75 years old in 2010, and has provided billions of dollars to senior citizens through the years. But unless Congress acts, Social Security is projected to run out of money by 2037. Get the latest news on attempts to modify Social Security and updates on the general solvency of the program.
In 2011, More than 58 million retirees and disabled Americans will get no increase in Social Security benefits, the second year in a row without a raise.
The Social Security Administration said Friday inflation has been too low since the last increase in 2009 to warrant an increase for 2011. The announcement marks only the second year without an increase since automatic adjustments for inflation were adopted in 1975. The first year was this year.
The cost-of-living adjustments, or COLAs, are automatically set each year by an inflation measure that was adopted by Congress back in the 1970s.
To make up for the lack of a COLA, the House will vote in November - after congressional elections - on a bill to provide $250 payments to Social Security recipients, House Speaker Nancy Pelosi said. But even if Pelosi can get the House to pass the proposal, it faces opposition in the Senate.
The absence of inflation will be of small comfort to many older Americans whose savings and home values still haven't recovered from the recession. Many haven't had a raise since January 2009, and they won't be getting one until at least January 2012. And the timing couldn't be worse for Democrats as they approach an election in which they are in danger of losing their House majority and possibly their Senate majority as well.
Social Security is supported by a 6.2 percent payroll tax - paid by both workers and employers - on wages up to $106,800.
The last increase in benefits came in 2009, when payments went up by 5.8 percent, the largest increase in 27 years. The big increase was caused by a sharp but short-lived spike in energy prices in 2008.
- Play CBS Video Perry introduces flat tax plan
- Play CBS Video Social Security Bump: Will it Help?
- Play CBS Video FBI now involved in case of captives in basement
- Play CBS Video Social Security checks to increase 3.5 percent
- Play CBS Video Evening News Online, 10.18.11
- Play CBS Video Social Security recipients getting a raise
- Play CBS Video Retirement: Most People Don't Prepare
- Play CBS Video Ask the Experts: How to Invest Now
- Play CBS Video Ask The Experts: Improve Your Networking Skills
- Jill on Money 11/19: Housing, Annuities, 529 Plans
After two weeks in China, it was great to dive into questions about I-bonds, retirement strategies and college savings.
Read Full Story » - Debt supercommittee getting nowhere fast
Obama urges both sides to "bite the bullet" as top GOP, Dem. members express hope, but give no indication of real compromise
Read Full Story » - Retirement planning: who will succeed?
Here's a alternate view on how to face tough retirement challenges
Read Full Story » - AARP position on Social Security and Medicare is not realistic
It's just not possible to exempt Social Security and Medicare from budget cuts and make a serious dent in the budget
Read Full Story » - Why does US retirement system rank 10th out of 16 modern economies?
The US Retirement system ranks 10th behind Poland, Brazil and Chile -- here's how can we improve our ranking
Read Full Story » - Do Tea Partyers support Social Security and Medicare?
Most Americans say Social Security and Medicare should be protected, no matter what
Read Full Story » - New formula would reduce Social Security increases
New formula would reduce Social Security increases
Read Full Story » - Perry unveils sweeping economic plan
The Republican presidential candidate's economic plan would allow younger workers to privatize their Social Security accounts
Read Blog » - Social Security raise welcomed in tough economy
Social Security raise welcomed in tough economy
Read Full Story » - Medicare costs to offset Social Security hike
Social Security recipients got their first raise since 2009, but Medicare premiums could erase those gains
Read Full Story » - Social Security at a glance
Social Security at a glance
Read Full Story » - Medicare costs to reduce Social Security increase
Medicare costs to reduce Social Security increase
Read Full Story » - Social Security increase coming in 2012
Social Security increase coming in 2012
Read Full Story » - Social Security increase coming in 2012
Social Security increase coming in 2012
Read Full Story » - Social Security increase coming in 2012
Social Security increase coming in 2012
Read Full Story »
Check out scenes from the campaign trail and the candidates running in the 2010 midterm elections this Fall.
View Gallery
The Men and Women Who Look Like the Most Likely Candidates to Become the Republican Presidential Nominee in 2012
View Gallery