October 15th, 2010
09:12 AM ET

Social Security benefits won't increase for second straight year

Social Security beneficiaries will see no increase in their benefit checks next year, the federal government said on Friday.

For more than 58 million seniors and other Social Security beneficiaries, 2011 will mark the second in a row without an inflation adjustment.

Inflation has been low in the past two years because of the recession. The Bureau of Labor Statistics on Friday morning reported prices were up only slightly over last year.

The last Social Security inflation adjustment was in 2009: Beneficiaries got a higher-than-normal 5.8% increase because of a temporary spike in energy prices in the third quarter of 2008.

Soon after, however, energy prices plummeted. Then the bottom fell out of the economy and by the third quarter of 2009 overall price levels had fallen 2.1% from the same period a year earlier. That meant no increase in 2010 Social Security benefit checks.

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Filed under: Economy
soundoff (69 Responses)
  1. james preston

    This country is going to hell the government an obama say we are doing good make sure they keep taking care of illegal aliens give them disability welfare a house a car I hate to say this the government has destroyed this country its only going to get worse what about all the homeless an poor people who are legal its sad an its to late jim

    October 15, 2010 at 9:28 am | Report abuse |
    • capnmike

      Show some real evidence that illegals are getting houses, cars and welfare from the government. THEY AREN'T. ll you are doing is spouting the racist hatred sewage that comes from these nitwit tea-partiers.

      October 15, 2010 at 9:30 am | Report abuse |
    • Miss Nurse

      Amen I totally agree. Our government is elected to do things for us. Instead they do things that benefit themselves and let everyone else go! Everything keeps going up but our elderly who have given the best years of their lives for this country are left to fend with a pittance. It is disgusting! Wonder if The President and Congress could live on what our elderly live on?

      October 15, 2010 at 9:35 am | Report abuse |
    • Claude Balls

      Yeah, I'm going to yell at every disabled person I see about how they're responsible for those banks that caused this recession.

      While I'm at it, do you want to holler at the disabled guy who sent your job overseas?

      October 15, 2010 at 9:37 am | Report abuse |
    • Honey Bee 1959

      I totally Agree it make's you ashamed of America thay don't give a dam about us any more it's all about other country's our vet's are liveing on the street's and going hungry and our older people and young kid's going hurgry no home's and the goverment dont care.I say take care of american's first ???????????????

      October 15, 2010 at 9:41 am | Report abuse |
    • caT

      To all negative people, you know who you are. I do agree that we should take care of our home ( USA) first before anyone, it is a shame that the elderly and veterans have to suffer because the rich want to get richer, no one wants to help the underdogs. What I don't agree with is that you act as if Obama was the one that screwed everything up, we did not get in this mess in one, two, or even three terms, and it's not going to be solved in one term. You do know that his decisions have to go thru Congress, right? So I don't think ANYONE is going to get us out of this rut in one term.

      October 15, 2010 at 12:06 pm | Report abuse |
  2. capnmike

    So our wonderful government decided to use the money instead for a wonderful health benefit program for our sleazebag dirtwad congressmen instead, STATING that it would be paid for with the money saved by not giving our needy seniors a cost-of-living sdjustment, even though any nitwit on the street can plainly see that prices have been going up as usual. This is a DISGRACE!

    October 15, 2010 at 9:29 am | Report abuse |
    • Gia

      I totally agree w/this post. It's a disgrace that for the 2nd year in a row the S.S. amount hasn't gone up because there is no inflation. On what planet has the cost of living not increased? When I received the notice from S.S., I could not BELIEVE there will be no increase AGAIN! Wake up Obama, don't make me sorry I voted for you.

      December 18, 2010 at 2:00 pm | Report abuse |
  3. patty

    Low inflation my a$$. Who determines if there is a COLA in Social Security.

    October 15, 2010 at 9:29 am | Report abuse |
  4. melissa drummer

    the cost of liveing has increased daily people cant live of the low amount we get for our children and if the parent works you dont qualify thats the gov for ya

    October 15, 2010 at 9:31 am | Report abuse |
    • Lawdog

      So everyone should get a welfare check?
      We need to make people a bit embarrased to be on welfare again so that it is not an easy choice to make.
      I have no problem with our senior citizens being on assistance, but there are way to many young peole that will not get a job when they can simply collect a check.

      October 15, 2010 at 9:38 am | Report abuse |
  5. robert h

    So I guess inflation doesn't count when only food, energy and medication costs increase, I guess the old people are just a bunch of whiners. Get it together people, you can't treat our retirees this way, thier costs have gone up for the last two years but benefits have not. They worked thier whole lives paying in to S.S. and we can't base thier increases on thier real expenses, when the increase is based on a formula that strips out food,energy and medical costs, which is a huge percentage of retiree expense, we are doing it wrong!

    October 15, 2010 at 9:37 am | Report abuse |
  6. JOHN

    cost of living hasn't gone up--apparently they haven't seen my electric bill which just went up 10% thanks to Ameren UE.

    October 15, 2010 at 9:37 am | Report abuse |
  7. John B

    Whoever these idiots are that think prices haven't gone up need to get a clue. This is a horrible thing to do to our seniors. Prices have done nothing but go up all year long. I suppose they can just eat less and not take their meds every day right? STOP the free healthcare for illegals and START treating our seniors right!

    October 15, 2010 at 9:38 am | Report abuse |
    • Honey Bee 1959

      A MAN A MAN A MAN read this and learn mr. goverment what the hell are you thinking O you're not you try liveing on the check you send out too our older citizens and see if you think no raise is need'ed

      October 15, 2010 at 9:47 am | Report abuse |
  8. Harry

    Ok this should mean that no government employees get COLA increases also – ha ha! They will all get increases and those of us who have been forced into SS because we lost our jobs get nothing. We must throw them all out and then continue to do that until they realize they work for us and not only for themselves.

    October 15, 2010 at 9:38 am | Report abuse |
  9. Lawdog

    If we would limit the amount of time anyone below age 50 was able to collect free money in the form of Welfare, then we could afford to pay more to those that have worked all of their lives and paid into the system.

    October 15, 2010 at 9:40 am | Report abuse |
  10. Bill Mc

    Two years ago federal retirees got over a 5% COLA because of volatility in energy prices. Then a year with zero COLA, and now for 2011 with zero COLA. The cost of living adjustment is based on September year to year inflation, by law. Energy prices make that somewhat volatile, so you may get a lot one year, then have nothing for two years. It averaged out roughly 2 percent a year, which I think is fair for federal retirees, who get generous retirement anyway. It may not be so generous for social security recipients.

    October 15, 2010 at 9:42 am | Report abuse |
  11. David

    The formula in the ss law determines the amount of in ss drives the adjustments. As determined by the Bureau of Labor Statistics, there is no increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of 2008, the last year a COLA was determined, to the third quarter of 2010. This is not a matter of policy. Sure I would like to have more but I also respect the law. If you want the formula changed speak to your legislator.

    October 15, 2010 at 9:43 am | Report abuse |
  12. brian

    OBAMA is a one termer

    October 15, 2010 at 9:44 am | Report abuse |
  13. Johnny

    The American people got what the elected OBAMA – now live with it. I agree with Brian – A ONE TERMER

    October 15, 2010 at 9:47 am | Report abuse |
  14. Jimmy

    If the add a COLA, it will just run out sooner. Enjoy it while you can.

    October 15, 2010 at 9:47 am | Report abuse |
  15. Becca

    It seems to me that our government must not understand that utilities have gone up , gas for cars has gone up,food has gone up and just about everything has gone up. SO I guess they must have blinders on when it comes to the Older people who have worked all of their lives for Social Security. Oh and medicine has gone up for everyone and Doctors are charging higher prices. Medicare has gone up and I just bet it will this year too. SO now that all is gone from our old folkes checks now what do they do? Well here it is our elder folks will be not talking their medicine that they should take or eating right and what ever else has to happen to them to have enough to live who knows. This is just awful and I am sure that a lot of people on SS will not be voting for OBAMA again as he promised to take care of the older people when he was trying to get voted in to offive. Now what is he doing to these people who voted him into office? Selling them down the river is what I say. At least people who can work at least has a way to make extra money but the ones who are older and sick can not. Thanks to our Government!

    October 15, 2010 at 9:47 am | Report abuse |
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