ICYMI: Fetterman, Colleagues Introduce Bicameral Bill Expanding Social Security Benefits for Seniors

WASHINGTON, D.C. - Last week, U.S. Senator John Fetterman (D-PA) joined U.S. Senators Richard Blumenthal (D-CT), Kirsten Gillibrand (D-NY), and Ruben Gallego (D-AZ), and U.S. Representative Nikki Budzinski (D-IL), to introduce the bicameral Boosting Benefits and COLAs for Seniors Act, legislation to protect and expand Social Security benefits for older adults.

Each year, Social Security benefits are adjusted by the Cost-of-Living Adjustment (COLA) formula. But in recent years, benefits have failed to keep up with rising costs and inflation, especially for older Americans. This year's COLA was announced last week as 2.8 percent - a number that three out of four Americans aged 50 and older say is not enough.

The Boosting Benefits and COLAs for Seniors Act directs the Social Security Administration to adjust benefits based on the Consumer Price Index for Americans aged 62 or older (CPI-E), whereas current benefits are based on the Consumer Price Index for Urban Wage Earners (CPI-W). The CPI-E takes into account more of the costs incurred by older Americans, such as medical expenses-making it a more accurate index to use when calculating benefits.

"It's simple, part of the American bargain is the ability to retire with dignity. When we have seniors choosing between medication and basic needs because their Social Security benefits aren't keeping up with rising costs, we have a serious problem," said Senator Fetterman. "If you spend a lifetime working and paying into Social Security, you deserve to see those earned benefits. I have always supported our seniors, and our Boosting Benefits and COLAs for Seniors Act builds on that commitment to do right by them."

"This overdue measure makes necessary adjustments to Social Security benefits-more accurately accounting for rising prices and inflation-to better support older Americans," said Senator Blumenthal. "Our nation's seniors are struggling to afford basic necessities like food, medication, and clothing, and the overall cost of living index may not reflect their particular needs. This legislation ensures that older Americans have the support they deserve to live with dignity."

"Americans deserve to retire with dignity, not spend their golden years just trying to get by," said Senator Gillibrand. "Our seniors have spent a lifetime of hard work paying into Social Security, and while these benefits - including the annual cost-of-living adjustment - are a lifeline for millions, the payouts simply aren't keeping up with rising costs. Our Boosting Benefits and COLAs for Seniors Act would account for the unique expenses older Americans face and help ensure they have the resources they need so no one has to choose between paying for medication and buying groceries. As the top Democrat on the Senate Aging Committee, I'm determined to pass this legislation and make sure our seniors can live comfortably, with the security and dignity they've earned."

"Our seniors are feeling the squeeze of inflation right now, but Social Security's annual cost-of-living adjustment simply doesn't reflect their reality," said Representative Budzinski. "The current formula for Social Security COLAs is based on workers' cost of living, not retirees', and overlooks rising costs for essentials like prescription drugs and housing. I'm proud to introduce legislation that ties Social Security adjustments to the Consumer Price Index for Older Americans, which better reflects the costs that seniors actually face. Every American should be able to retire with dignity and security and our bill will help make that a reality."

The legislation is cosponsored in the U.S. Senate by Senators Bernie Sanders (I-VT), Peter Welch (D-VT), Sheldon Whitehouse (D-RI), Jack Reed (D-RI), Elizabeth Warren (D-MA), and Angela Alsobrooks (D-MD).

The Boosting Benefits and COLAs for Seniors Act is supported by a number of organizations, including the American Federation of State, County, and Municipal Employees (AFSCME), Social Security Works, California Alliance for Retired Americans, Alliance for Retired Americans, Justice in Aging, National Committee to Preserve Social Security and Medicare, National Education Association, National Organization of Social Security Claimants' Representatives, New York StateWide Senior Action Council, Strengthen Social Security Coalition, and Women's Institute for a Secure Retirement.

"Too many older Americans are being squeezed by rising prices," said AFSCME President Lee Saunders. "After a lifetime of hard work, retirees should feel confident that their Social Security benefits are going to ensure they can get by. That's why AFSCME is proud to support the Boosting Benefits and COLAs for Seniors Act, which would ensure that benefits keep pace with the cost of living. Workers deserve the freedom to retire with dignity. Thank you to Senator Blumenthal for introducing this critical legislation, and we urge Congress to move this bill forward."

"Social Security's annual automatic cost-of-living adjustment (COLA) is among its most important features. But benefits are slowly eroding because the COLA is based on a formula, the CPI-W, that under-measures health care costs. Those costs are currently skyrocketing, with Medicare Part B premiums projected to increase by twice as much as last year. The Boosting Benefits and COLAs for Seniors Act would correct this by incorporating a more accurate formula, the CPI-E. Social Security Works applauds Senator Blumenthal and his colleagues for introducing this important legislation," said Nancy Altman, President of Social Security Works

The full text of the bill can be found here.