U.S. retirees remain calm despite rising inflation The biggest increase in pensions in 40 years
U.S. retirees remain calm despite rising inflation The biggest increase in pensions in 40 years
  • Daniel
  • 승인 2021.10.14 11:19
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U.S. Social Security payments rise by the largest amount in 40 years amid fears of inflation.

The U.S. Social Security Administration (SSA) announced on the 13th (local time) that it will raise its Social Security pension by 5.9% next year, the New York Times reported.

This is the largest increase since 1982.

The move will mean that more than 64 million retirees in the U.S. will receive increased pensions starting next year, SSA said.

The sharp rise in prices for food, automobiles, apartment rentals, and energy, etc.

On the same day, the Consumer Price Index (CPI), released by the US Department of Labor on the same day, rose 5.4% from the same month of the previous year, setting a record for the biggest increase since August 2008.

Inflation caused by a sudden surge in demand as various lockdown measures are lifted due to the novel coronavirus infection (COVID-19) are showing signs of prolonging further than expected due to shortages of raw materials, logistics disruption, and a surge in labor costs.

"These pension increases will help recipients cope with current inflation," Jason Pictner, chief economist at the Center for Bipartisan Policy, a think tank, told Bloomberg.

"The guaranteed pension provided by SSA is more important than ever as millions of Americans continue to face the health and economic impact of the COVID-19 pandemic," said Joe Ann Jenkins, CEO of the National Association of Retired Persons (AARP). welcomed the decision to raise.

According to the New York Times, the maximum income limit for social security tax payers will rise from $142,800 (about 170 million won) to 147,000 (about 175 million won).'

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