Tell Your Senators CPI Changes Are Scam to Cut Social Security

by Mike Hall
AFL-CIO Now Blog

There’s plan floating around Capitol Hill that would slash Social Security benefits as part of a deficit reduction package even though Social Security does not contribute a penny to the deficit.

That’s why you need to click here to tell your senators “Do not cut Social Security.”

Backers of the plan are disguising the cuts as so-called inflation adjustments. Don’t be fooled. Changing the way the Consumer Price Index (CPI) is calculated will reduce the cost of living adjustments that Social Security recipients count on to keep pace with inflation.

The proposed new inflation formula is known as “chained CPI.” It would mean that the average earner retiring in 2011 at age 65 will see his or her Social Security benefits slashed by $6,000 over 15 years.

Chained CPI is also a regressive income tax increase. If applied to income taxes, it would hit low-income families and barely affect the wealthy. The Associated Press reports that “by 2021, taxpayers making between $10,000 and $20,000 would see a 14.5 percent increase in their income taxes with a Chained CPI.” Meanwhile, “taxpayers making more than $500,000 would get a tax increase of 0.3 percent and those making more than $1 million would get a tax increase of 0.1 percent.”

Take just a minute and click here and tell your senators to oppose the “chained CPI” inflation scam that is a cut Social Security no matter what they call it.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: