President Obama announced that he will be asking Congress to approve one time $250 payments to go out to 50 million retired seniors who will not be receiving a Social Security COLA increase next year. “Even as we seek to bring about recovery, we must act on behalf of those hardest hit by this recession,” Obama said in a statement. “This additional assistance will be especially important in the coming months, as countless seniors and others have seen their retirement accounts and home values decline as a result of this economic crisis.”
While $250 may not sound like very much money, it is the equivalent of only an extra $20 per month, any amount is welcome for seniors who are earning near zero interest on their government bonds. The program which costs $13 billion, will increase the deficit, but should be seen as an intelligent and humane effort to stimulate the economy. Think of it as “Cash for Human Clunkers!”
If you are a retired senior, try our free retirement calculators, and find out how much you can safely spend in retirement.
1 response so far ↓
1 Bobby // Oct 21, 2009 at 7:06 pm
You are right about 250 dollars not seeming like very much money. Seniors have a tough time living on a fixed income. Social Security is barely enough to live on. Although the extra money will probably come in handy for many, there needs to be some more reforms made for Social Security. However, every little bit helps so I think Obama is on the right track. Thank you for your information.
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