### Summary
Former New Jersey Gov. Chris Christie is advocating for changes to Social Security and Medicare benefits for young people, stating that without these changes, the programs could run out of money for everyone in about a decade.
### Facts
- š° Changes are necessary for Social Security and Medicare as the country faces a rising national debt.
- š According to Christie, both programs will be bankrupt within the next decade.
- šø If Social Security fund becomes insolvent in 2033, benefits for the average retired couple could drop by more than $17,000 per year.
- š
Christie proposed raising the benefit eligibility age for Americans currently under 50 years old.
- š° Christie also suggested implementing means testing for benefits based on income threshold.
- š Entitlement cuts were part of a larger federal budget debate in March, but Republicans eventually agreed not to touch Social Security and Medicare.
- š Christie believes the conversation about these changes is necessary but has been avoided by other candidates.
- š Christie is currently polling fifth among GOP primary candidates with about 3 percent support.
Source: The Hill
About 75% of Americans aged 50 and older worry that Social Security will run out of funding in their lifetimes, compared to 66% in 2014, according to a survey by Nationwide Retirement Institute, as concerns grow with the depletion dates of the program's funds approaching.
The Social Security Administration (SSA) announces the annual cost-of-living adjustment (COLA) for Social Security and SSI payments in October, with predictions suggesting a potential 3% increase for 2024 based on the consumer price index data.
The forecast for next year's Social Security increase has risen to 3.2% from 3% due to a rise in inflation, but the increase is still significantly lower than the 8.7% COLA in 2023, causing concerns for seniors who have struggled to keep pace with inflation and have seen their share of poverty increase.
Social Security recipients are expected to receive a 3.2% cost of living adjustment (COLA) in 2024, but a senior advocacy group warns that it will still fall short of meeting retirees' needs as the costs of goods and services continue to rise faster than benefits.
The Senior Citizens League increased its projection for 2024's Social Security COLA to 3.2% from 3% due to higher-than-expected inflation last month.
Due to inflation, Social Security checks will increase by 3.2% starting in January 2024.
Inflation may affect Social Security benefits and income-tax provisions in 2024, with Social Security increases expected to be around 3-3.5%, tax brackets and deductions adjusting for inflation, and tax collections potentially remaining high; meanwhile, the IRS has implemented a new policy that ends unannounced visits by revenue officers.
About 45% of single retirees and 21% of retired married couples rely on Social Security for more than 90% of their income, making it essential to prioritize covering essential living expenses such as housing, utilities, groceries, and healthcare.
About 56% of American workers feel they are falling behind in saving for retirement, with older generations being the most concerned, and the average amount people believe they need to retire comfortably has increased to $1.8 million, according to a survey from YouGov for Bankrate and another survey from Charles Schwab.
Social Security recipients can expect a 3.2% increase in their checks starting in 2024 due to inflation, with various average payment amounts depending on recipient groups.
The Social Security Administration is expected to announce a 3.2% increase in the annual cost-of-living adjustment (COLA) for 2024, providing additional financial assistance to the approximately 67 million Social Security beneficiaries with an average monthly benefit of $1,790.
The Social Security Administration is expected to announce a 3.2% increase in Social Security benefits and various other changes for 2024, including an increase in the retirement earnings test exempt amounts and the maximum taxable earnings limit, on October 12, 2023.
Retirees will soon find out their Social Security benefits for 2024, with predictions suggesting a likely increase of around 3.2%, although the final amount may be affected by Medicare Part B premiums, which are projected to rise by approximately 9% next year.
A $750,000 Roth IRA and $1,800 in monthly Social Security benefits may be enough for retirement at 65, but managing the portfolio effectively and considering other factors such as investment growth and spending needs is crucial for sustained comfort in retirement. A financial advisor can provide assistance in planning for retirement.
Social Security beneficiaries in 2024 can expect changes that include an increase in the income threshold required to qualify, a cost-of-living adjustment, higher Social Security tax on income, an increase in the maximum Social Security benefit, and higher income limits for early claimers.
If you're 58 with $700,000 in retirement savings and won't collect Social Security for 7 years, you can cover your $3,000 monthly living expenses by withdrawing $28,000 annually using the 4% rule, and using savings or a Roth IRA for the next 18 months until you can make penalty-free withdrawals from your retirement accounts.
The Federal Reserve's efforts to cool inflation will result in a smaller increase in Social Security benefits for 2024 compared to the previous year's spike, with a 3.2% COLA increase.
The monthly premium for Medicare Part B will increase to $174.70 in 2024 due to projected increases in healthcare spending, resulting in a monthly bump of less than $50 for retirees in their Social Security benefits.
