As Congress and the White House try to negotiate new budget and deficit reduction deals, on the negotiating table is a harmful benefit cut to Social Security and Supplemental Security Income (SSI) called the “chained CPI.”
The proposed chained CPI would reduce the cost-of-living adjustment (COLA) that Social Security and SSI beneficiaries receive in most years, resulting in people getting smaller benefit increases than they otherwise would under the current calculation.
Cuts from the chained CPI could compound and get bigger every year. For example, for the average Social Security Disability Insurance (SSDI) beneficiary, the chained CPI would mean a benefit cut of about $347 per year after 10 years, $720 per year after 20 years, and $1,084 per year after 30 years. After 30 years, the cut is roughly one month’s worth of benefits for the average SSDI beneficiary.
The chained CPI is especially harmful to SSI beneficiaries, because it not only lowers the annual COLA but also reduces people’s initial SSI benefit. The reduction in the initial benefit can also mean a reduction in the number of eligible people.
Over time, the chained CPI could also lower the income eligibility standards for over 30 programs including Medicaid, Head Start, and food stamps – so that fewer people qualify for these vital programs each year.
To learn more about the chained CPI check out The Arc’s newest edition of National Policy Matters:
The Chained CPI Cuts Social Security and SSI: What Disability Advocates Need to Know
To see how much the chained CPI would cut your Social Security or SSI benefits:
http://action.aarp.org/site/PageNavigator/SocialSecurityCalculator.html
What Can You Do?
Call the President and your Members of Congress. Click on the “Take Action” link above to get started.
Tell them:
• I oppose the chained CPI because it is a painful benefit cut for people who rely on Social Security, including people with disabilities.
• Social Security and SSI are lifelines for many people with disabilities to be able to live in the community and be as independent as possible.
• Please oppose the chained CPI in these negotiations and protect all of the programs that people with disabilities rely on. |
