Kentucky’s Retirees and Veterans Stand to Lose $2.23 Billion with Chained CPI
AARP Urges Congress to Oppose Cuts to Social Security and Veterans Benefits
AARP Kentucky urges you to call 1-800-323-2230. Tell Washington to oppose chained CPI and vote NO on any budget proposal that unfairly cuts Social Security benefits.
As President Obama heads to Capitol Hill to push his deficit reduction plan, AARP urged the Kentucky congressional delegation to oppose the so-called ‘chained CPI,’ which would make significant cuts to Social Security and veterans benefits in Kentucky according to a new analysis based on data from the Congressional Budget Office (CBO).
The chained CPI – also called the ‘superlative CPI’ – would change the way the cost-of-living adjustment, or COLA, is calculated for Social Security and veterans’ compensation, cutting benefits for seniors and veterans who are already stretched by prescription drugs, utilities and health care costs. And as they get older, it only gets worse because the cut would start now and get bigger every year, hitting people the hardest as they age and have exhausted much of their savings.
Using data from the CBO and the Departments of Veterans Affairs and Defense, AARP calculates that adoption of the chained CPI would result in Kentucky’s retirees and veterans losing $2.23 billion dollars over a 10-year period.
“Chained CPI is a fancy Washington term that really means cutting Kentuckians’ Social Security and veterans’ benefits,” said AARP Kentucky State Director Ron Bridges. “AARP believes Kentuckians deserve to know that the chained CPI is a stealth benefit cut that is currently on the table in Washington. The cut is especially harmful because it would start now and grow worse over time, taking money out of the pockets of seniors and veterans as they get older and every dollar counts.”
The AARP analysis showed that nationally, retirees and veterans would see their benefits cut by $146 billion over that 10-year period. Individuals can see how their personal benefits would be affected at www.aarp.org/whatyoulose.
“Reducing Social Security and veterans’ benefits through the chained CPI would break the promises politicians have made to protect benefits for today’s seniors. It would also leave a legacy of lower benefits for future generations,” concluded Bridges. “We urge Kentuckians to tell our representatives in Congress not to accept the chained CPI as part of any budget deal.”
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