As part of your campaign promises, President-elect Joe Biden proposed an increase of $ 200 per month on Social Security for the duration of the pandemic for coronavirus.
The idea of the president-elect is in line with a bill presented by the Democratic senators Ron Wyden y Elizabeth Warren.
Under this bill that seeks to be included in a new stimulus package in Congress, the increase would apply to all Social Security beneficiaries, including veterans and Supplemental Security Income (SSI) recipients.
The measure would put additional money in the pockets of seniors and people with disabilities who contributed to the Social Security fund with every check they received for their work, while boosting the economy.
Some 64 million Americans received Social Security checks in 2019, most of them withdrawn.
However, millions of people who depend on this earned benefit struggle to make ends meet.
According to an opinion by Wyden and Warren on CNBC in support of the legislation introducedNearly 10% of the elderly in the US live in poverty, a figure that increases in the case of women and non-white communities. While more than half of the Americans who receive SSI benefits depend on the program as their only source of income.
“Increasing Social Security benefits is the fastest way to send money during an economic crisis. Congress did it before: Social Security and SSII beneficiaries received the one-time benefit of $ 250 after the 2008 economic crisis as part of the American Recovery and Reinvestment Act, ”state lawmakers.
Other proposals for Social Security promoted by Biden
The platform of Government of Biden Regarding Social Security, it also highlights that eligible workers would receive a guaranteed minimum benefit equal to at least 125% of the federal poverty level.
The document also indicates that people who have received benefits from the program for at least 20 years would get a 5% increase, while widowers could receive approximately a 20% increase per month.
Biden also supports changes to the annual cost-of-living measure of the so-called Consumer Price Index for the Elderly (CPI-E) to more directly track the expenses retirees face.
To comply with the plan and extend the solvency of the Social Security Administration, Biden would apply payroll taxes to workers who generate $ 400,000 or more a year.
New increase in early 2021
An increase for Social Security and SSI beneficiaries is scheduled for early 2021.
The above represents a bigger check for nearly 70 million people.
The 1.3% increase due to the cost of living adjustment (COLA) will take effect in January 2021 for more than 64 million Social Security beneficiaries. For the more than 8 million SSI recipients, the increase will take effect on December 31, 2020.
The Social Security Act bases the annual COLA on the Consumer Price Index, as determined by the Labor Department’s Bureau of Labor Statistics.
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