Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
One thing that distorts the real impact of CPI increases on Soc Sec recipients is that their proportion of medical expenses to overall spending is greater than average. On the other hand, often times Soc Sec recipients have a house which is paid off, so they don't encounter substantial housing expense increases.
Another thing that pushes down the overall CPI is the deflation in computers, software, and electronic products. However, how many grannies are constantly upgrading their I-phone/pad/table/tv? Inflation may be low, but that lower inflation may be concentrated in the luxury categories Soc Sec recipients aren't purchasing. What they are buying, food, medical care, are going up faster overall inflation rate.
One thing that distorts the real impact of CPI increases on Soc Sec recipients is that their proportion of medical expenses to overall spending is greater than average. On the other hand, often times Soc Sec recipients have a house which is paid off, so they don't encounter substantial housing expense increases.
Another thing that pushes down the overall CPI is the deflation in computers, software, and electronic products. However, how many grannies are constantly upgrading their I-phone/pad/table/tv? Inflation may be low, but that lower inflation may be concentrated in the luxury categories Soc Sec recipients aren't purchasing. What they are buying, food, medical care, are going up faster overall inflation rate.
I'm confused by this reasoning. My house is paid off. I bought late in life and only managed to pay it off three years ago, while retired and collecting Soc Sec. During the years that I was paying on the mortgage, the payment never increased. What did increase was the amount of property tax I was paying, and continue to pay, although the mortgage is over. That's County/Municipal/School taxes, based on property valuation.
Additionally, I pay the increases in the cost of heating and cooling my mortgage-free home. And the electric company occasionally asks for a bit more money so I can flip a light switch. Same for water, sewer, levee protection, trash pick-up, recycling, homeowner's and flood insurances.
While these increases may not seem like much taken one by one, in the aggregate they can be substantial. To help off-set these higher costs, I'm opting for a lower premium Medicare Advantage plan this year. And I'm not turning up my nose at that 1.5%
Not only has the prices increased but look more closely. Have you noticed how food items have shrunk. All the food items are getting smaller in size but you pay the same or more. An example is cartons of orange juice. Remember when they all were 64ozs? Look closer, they are 59ozs now. Another example is cans of tuna. For years they were 6ozs. Look closer, they are 5ozs and more expensive. Coffee is even worse. It's not just one ore two company's, it's pretty much all of them.
I am so glad people are picking up on this. Bars of soap have literally shrunk! Coffee and ice cream both are terrible. But the awful part, the price continues to increase as the products gradually diminish in size. When our family (10 of them now) visits I use to be able to make a banana pudding with one box of vanilla wafers but no more. The box is now 11ozs and the size of the cookies inside are tiny.
I sure would like to find a BIG bar of Ivory soap.
Let us not overlook the increases in various insurances. My car insurance when up by 12% with no accidents or tickets and my car is another year older. My HO insurance jumped almost 40%. Where I am located housing has decreased in value by 4% per year over the past two years. My car's value is dropping and so is my home but he insurance keeps rising and the feds tell us the cost of living is 1.5% Somehow that just doesn't add up.
You can't grow marijuana because they will lock you up longer than a rapist or murderer.
jim9351
Good luck, in Jan 2014 we will have another threaten government shut down. If they go through with it no one will get a SS check.
based on............"consumer price index for urban wage earners"
Most retired folks' expenses are a lot different than that of urban wage earners.
Same as one state might be a good state to live in if you are an......an urban wage earner.....but a lousy state to live in if you are a retiree drawing SS.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
