Bernie Sanders: Alleged Obama Cutbacks on Social Security Would SinkMany Seniors Into Poverty

In 2050 I'll be 115 years old.  Hmm...maybe I'd better rethink my plan to live to 125. 

Curious Carl

 

 

Sunday, July 10, 2011 5:22 PM

Subject: Bernie Sanders: Alleged Obama Cutbacks on Social Security Would SinkMany Seniors Into Poverty

Bernie Sanders: Alleged Obama Cutbacks on Social Security Would Sink Many
Seniors Into Poverty
By BuzzFlash
Created 07/09/2011 - 2:50pm

A BUZZFLASH NEWS ALERT

The following is a news alert by Sen. Bernie Sanders (I-Vermont):

Social Security cuts under consideration by the White House in
deficit-reduction talks would drive 245,000 people into poverty and lower
widows' benefits $1,200 a year by 2050, according to Social Security
Administration calculations provided to Sen. Bernie Sanders (I-Vt.).

  Changing the way inflation is measured to determine Social Security
benefits is one option on the table in high-stakes budget negotiations that
resume Sunday at the White House. The so-called Chained Consumer Price Index
on average results in a lower inflation levels than the more common formula
used to adjust benefits.

  "The result would be devastating cuts for millions of American seniors and
people with disabilities," said Sanders. As chairman of the Senate
Subcommittee on Primary Health and Aging, Sanders asked the Social Security
Administration's Office of Retirement Policy to calculate the impact on
poverty rates and benefits if the revised inflation gauge were to be
adopted.

  In 2030, according to the report prepared for Sanders, there would be
173,400 more people living in poverty in the United States. The revised
formula also would dramatically lower benefits for retirees. Widows would
receive almost $70 a month less in benefits, a reduction of $840 a year.
People who are 70-79 would receive $49 a month less, a drop of $588 a year.
Benefits for those who are 80-89 would drop by $80/month or $960 a year.
Benefits for women would fall by 3.5 percent overall while men's benefits
would drop by 2.9 percent.

  By 2050, the impact would be much worse. There would be 245,000 more
people living in poverty at mid-century. Widows' benefits would be $1,200 a
year less. Those 70-79 would lose $720 a year, and seniors in the 80-89 age
bracket would see benefits fall by $1,200 a year. Overall, women would see a
4 percent reduction in benefits while benefits for men would drop 3.4
percent.

  As the deficit negotiations were set to resume on Sunday, Sanders
emphasized that Social Security has not contributed a dime to the deficit or
the national debt. Funded by the payroll tax on workers and employers,
Socials Security has a $2.6 trillion surplus and will be able to provide
full benefits for every eligible American for the next 25 years.

  Sanders called on President Barack Obama to publicly renounce the idea of
cutting Social Security as part of any deal to lower deficits. "I am
especially disturbed that the president is considering cuts in Social
Security after he campaigned against cuts in 2008," Sanders said. "The
American people expect the president to keep his word."


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