SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

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neurosphere
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SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by neurosphere »

If you have to ask "Is a Target Date fund right for me?", the answer is "Yes".
Alan S.
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by Alan S. »

Largest COLA since 1982. Before being rounded down the COLA would have been 5.923.
Soon2BXProgrammer
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by Soon2BXProgrammer »

Also quoting the other bit of information from another thread.
Svensk Anga wrote: Wed Oct 13, 2021 9:15 am A year ago there was much concern that the Covid-related unemployment would impair the SS benefits of those born in 1960. The benefit calculation depends on the national average wage in the year one turns 60. Speculation was the average would be low and that the low average would result in low benefits lasting the duration of one's SS benefit.

The 2020 average wage is out today. See here: https://www.ssa.gov/OACT/COLA/AWI.html

Contrary to expectations, the average wage was up 2.83% compared to 2019. There will be no unusual impairment for those born 60 years before the pandemic.
Earned 34 (and counting) credit hours of financial planning related education from a regionally accredited university, but I am not your advisor.
iamblessed
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by iamblessed »

What I am seeing with price increases people will need it.
Soon2BXProgrammer
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by Soon2BXProgrammer »

iamblessed wrote: Wed Oct 13, 2021 9:26 am What I am seeing with price increases people will need it.
I haven't seen the medicare part b premium increase, so i'm not sure how much people will actually get of it.
Earned 34 (and counting) credit hours of financial planning related education from a regionally accredited university, but I am not your advisor.
iamblessed
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by iamblessed »

Soon2BXProgrammer wrote: Wed Oct 13, 2021 9:31 am
iamblessed wrote: Wed Oct 13, 2021 9:26 am What I am seeing with price increases people will need it.
I haven't seen the medicare part b premium increase, so i'm not sure how much people will actually get of it.
That will be another price increase. See what I mean.
Soon2BXProgrammer
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by Soon2BXProgrammer »

iamblessed wrote: Wed Oct 13, 2021 9:32 am
Soon2BXProgrammer wrote: Wed Oct 13, 2021 9:31 am
iamblessed wrote: Wed Oct 13, 2021 9:26 am What I am seeing with price increases people will need it.
I haven't seen the medicare part b premium increase, so i'm not sure how much people will actually get of it.
That will be another price increase. See what I mean.
Well.. If i recall correctly (which maybe i don't) there is a rule that medicare part b premium increases can't make social security checks get smaller, however, they are allowed to take the entire increase. So looking at the social security increase is only the first step, until the medicare part b premiums are announced.
Earned 34 (and counting) credit hours of financial planning related education from a regionally accredited university, but I am not your advisor.
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pokebowl
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by pokebowl »

iamblessed wrote: Wed Oct 13, 2021 9:26 am What I am seeing with price increases people will need it.
That is assuming folks can even find product to spend money on. Around me a lot of stores are half empty due to supply chain issues. The holidays should be interesting.
iamblessed
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by iamblessed »

pokebowl wrote: Wed Oct 13, 2021 9:36 am
iamblessed wrote: Wed Oct 13, 2021 9:26 am What I am seeing with price increases people will need it.
That is assuming folks can even find product to spend money on. Around me a lot of stores are half empty due to supply chain issues. The holidays should be interesting.
If they can find the car or house they need it will be a lot more than 5.9%
random_walker_77
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by random_walker_77 »

That's a little disheartening to me as it means that inflation really is that high. I'm under the impression that SS adjustments tend to be conservative (or even stingy), and I know that my bonds/CD/cash didn't earn that much. And even if it had, I'd still be down 2% due to taxes on gains to match inflation ("tax-flation").

Luckily the total stock market is up quite a bit, which reinforces how important it is to be invested in _both_ stocks and bonds. Who'd have thunk that a pandemic that killed 1-in-500 Americans would still see the stock market go up by over 33% in 2 years?
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Re: SS Update. COLA 5.9%. Taxable Maximum for 2022 increases to $147,000

Post by Alex Frakt »

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