ATLANTA — As people struggle with inflation and the rising cost of goods, those on Social Security should not expect their monthly checks to keep up, and in fact, should plan to feel more of a pinch in the coming year.
More than 66 million Americans receive Social Security benefits every month. Reid Barnes is one of them.
He sees food prices going up and chooses carefully, perusing the grocery shelves and deciding what he needs and what he could do without.
Barnes is not one to complain or talk about himself - but is vocal about his concern for his friends who are on Social Security too.
"I think it'll be hard on them," the Atlanta resident said.
He's eyeing the latest projection by the Senior Citizens League which shows that the next Social Security cost of living increase, come January 2024, may be less than three percent. It would mark one of the smallest increases in recent years and is far less than the current increases in the costs of basic necessities, such as:
Housing, up 8%; Food, up 6.7%; Electricity, up 5.9%; Medicine and medical supplies and equipment, up 4.4%; Transportation, up 10.2%.
"It's not a good forecast," Ellis Liddell of ELE Wealth Management said.
Liddell works with seniors whose Social Security checks are often $1,200 a month or less. He said the 2.7% projected increase will be helpful, but that ultimately it would take a 12% hike to get seniors funds that match the current economy.
"It's challenging when Social Security is your only source," Liddell said. "They really need a big boost to play catch up."
The projection may change in the next few months, and it's possible the cost of living increase in January will end up being more.
Barnes is cutting corners where he can and still worries for those who can't cut much else.
"Some of 'em don't have money to pay for their medicines," he said. "I feel concern for them. Because I don't like to see any person hungry."