Update on 4th stimulus check for social security recipients

Inflation continues to ravage every household in the United States. Although many people can ask for a pay raise, not everyone can afford to have more money on a monthly basis. Workers can change jobs for a better paycheck, as well as talk to their boss for a pay raise. On the other hand, retirees cannot have a change in their monthly income. The Social Security Administration only makes one increase per year and that is through the COLA.

For that reason, there are a large number of people who are asking the Social Security Administration and the Government to send a new Stimulus check. Through this check, the situation can be fixed a little bit. It would benefit many SSA beneficiaries who do not have enough money to pay all the monthly bills. Last week, this group of people sent a letter to Congress requesting this new mailing of money.

The flat payment for Social Security beneficiaries

As The Sun reports, the flat payment for Social Security beneficiaries is one of the main reasons for this request. The financial stranglehold of a large proportion of recipients means that they want direct financial benefit. The time after the pandemic is very hard for many of these retirees, so any kind of benefit in finances is more than welcome.

Despite this petition, nothing is yet assured in the fourth quarter of this new fourth stimulus check for Social Security retirees. Stepahnie Bonin’s creation of a petition on change.org for this goal has garnered many signatures, but unfortunately it looks like it won’t change anything in reality. We will soon see if the fourth stimulus check will reach the pockets of U.S. retirees, but everything seems to indicate that this good news will not happen.

Tackling inflation

To cope with inflation in the United States you need to have a good source of income. If you are already retired, try to find extra money in common things you have at home. In this sense, you can follow some tips to increase your monthly budget such as renting a spare room in your house or having parties in your garden.

In case you haven’t applied for Social Security yet, there is still time to increase it. Try to work as many years as you can, as this will increase your benefit considerably. And not only that, but save as much money as possible. This way you will have a better retirement and will not have to worry about financial problems.

IF you've been holding out hope for a fourth stimulus check - don't hold your breath.

Despite inflation remaining stubbornly high, and recessionary fears growing, Congress still has not moved to cut older Americans more slack.

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However, a petition trying to convince lawmakers to send senior citizens a fourth, $1,400 stimulus check, continues to circulate.

Social Security and supplemental security income (SSI) beneficiaries had been hoping Congress will consider a fourth stimulus check.

The Senior Citizens League, a non-partisan advocacy group, has been calling for the one-time $1,400 stimulus check for Social Security claimants, who are among the hardest hit by higher prices.

The group sent a letter to Congress last year, stating the cost-of-living adjustment, combined with inflation, will hit hard for many older Americans who are on a fixed income.

The proposal came after it was heard from many seniors who shared their hardships in the aftermath of the pandemic.

Shannon Benton with the Senior Citizens League told The Sun: "We have received hundreds of emails from people concerned about making ends meet."

"The high cost of living adjustment, for many, just exacerbated their financial woes by bumping their income above program limits to qualify for medicare savings programs and extra help."  

And with inflation not going anywhere fast, the need for an injection of financial stimulus remains essential for millions of Americans.

The Senior Citizens League isn't the only one that is trying to get Congress's attention on the issue.

There's a petition on Change.org which has gotten more than 4.5million signatures.

It was started by a Denver restaurant owner.

It's asking Congress to provide monthly stimulus checks of $2,000 for adults and $1,000 for children for the "duration of the crisis."

Will lawmakers provide a fourth stimulus check?

Dozens of lawmakers have pushed for recurring stimulus payments, but any hope was sidelined when lawmakers focused on the Build Back Better agenda.

While a scaled-down version of it was signed into law by President Joe Biden in August, it did not include stimulus check.

Congress has been focusing on other issues including abortion rights and climate change.

Currently, no talks about stimulus money are on the table.

It means Social Security claimants should not expect to get a $1,400 check.

However, it's possible that should the US enter a recession (which is a growing fear of many economists), some more aid could be coming on the state or local level.

Dr Tim Rosenberger Jr, rising fellow at the Hoover Institution, whose research focuses on state and local government policies, previously told The Sun that California, in particular, could act.

“California is sitting on a big pile of cash right now,” Dr Rosenberger said.

Just last week California began deploying one-time payments that will benefit up to 23million California residents in the largest stimuls program of its kind in the state’s history.

The highest amount, $1,050, will go to married couples with a dependent and $150,000 or less in income.

The initiative, dubbed the Middle Class Tax Refund, comes as inflation nationally has reached historic highs and as  California had a record $97.5 billion surplus as it finalized its budget.

The Social Security Administration looks at the cost of living and makes any necessary increases to Social Security benefits.

This practice has been going on since the 1950s to offset inflation for people living on a fixed income.

The cost-of-living adjustment for 2022 increased to 5.9 percent, one of the biggest on record.

The Social Security Administration is estimating that the number could rise by another eight percent next year, and an official decision will be announced on October 13th after CPI data for September is released.

That will impact 70million Americans, who will almost certainly receive a significant monthly increase in their benefits in 2023.

Based on the most recent Consumer Price Index report from the US Bureau of Labor Statistics, which showed inflation in August continuing to remain elevated.

It rose 8.3% from the previous year, the Senior Citizens League said the COLA for 2023 could be about 10.5%.

Cooling fuel prices at the tail end of the summer has helped lower COLA estimates for next year in recent weeks.

Yet, since the COLA is backward-looking, it is a mystery whether it will keep pace with upcoming inflation in 2023, said Mary Johnson, policy analyst at the Senior Citizens League.

"COLA is based on the inflation of July, August, and September CPI data this year averaged and compared against a year ago. We don’t know yet how well that will match up with inflation in 2023," said Ms Johnson.

Despite the increases each year, high inflation has lowered Social Security claimant's buying power by about 40 percent since 2000.

In other Social Security news, 33 states have bumped up Supplemental Security Income (SSI) so recipients will get payments of $841.

Plus, we explain how to get the most out of Social Security when you retire, including ways to boost your payments.