The United States Senate recently voted against a proposed bill that would have significantly changed the way increases in payments to those receiving Social Security Disability Benefits would be figured.
Current law allows for disability payments to be reevaluated and adjusted each year to compensate for increased costs for everyday living expenses such as food, utilities, transportation, housing, etc. These costs are based on a consumer price index that averages similar expenses nationwide.
President Obama proposed that cost-of-living adjustments (COLAs) be figured out using a “chained” consumer price index that assumes that if the prices for a particular commodity rise, Americans will seek alternative products.
An article from VT Digger stated that using the new “Chained” consumer price index would significantly cut benefits increases for roughly 58 million current disability recipients. Social Security recipients who are 65 years old or over could see a loss of as much as $650 annually over the next decade and more than $1,000 annually by the time they are 85 years old.
Senators blocked the bill last month, claiming that taking from those most in need of assistance is not the way to solve the nation’s budgetary issues.
The law firm of Newlin Disability and their team of Social Security Disability Attorneys have an understanding of the complexities that can be associated with receiving government assistance. The firm encourages anyone considering filing a claim for benefits to discuss their legal options with an attorney.
