Seniors face rising costs as lawmakers debate cuts to Social Security and Medicare
January 29, 2025 | Aging (Special), Special, Select and Other Committees - House & Senate, Congressional Hearings Compilation
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The government meeting held on January 29, 2025, focused on the pressing issues of inflation and fiscal responsibility, particularly as they affect seniors. The session, titled "Making Washington Work for Seniors: Fighting to End Inflation and Achieve Fiscal Sanity," highlighted the challenges faced by older Americans living on fixed incomes amidst rising costs.
The meeting began with a discussion on the impact of high inflation rates on seniors, who often rely on Social Security payments averaging $1,976 per month. This amount covers only 68% of basic living expenses for a single elderly renter, according to a study by economists at the University of Massachusetts. The National Council on Aging reported that 14% of individuals over 65 live in poverty, emphasizing the need for policies that support aging with dignity.
Key speakers addressed the rising costs of essential services, including healthcare and prescription drugs. It was noted that home health care services increased by 9.5% in December 2024, compounding the inflationary pressures from previous years. The discussions underscored the necessity of reducing the federal budget deficit, which has persisted for 24 consecutive years, to alleviate inflationary pressures and lower interest rates. Incoming Treasury Secretary Scott Bessent's target of a 3% deficit was praised as a potential solution.
Mr. Alex Lawson, executive director of Social Security Works, emphasized the urgent need for Congress to take action against rising costs. He called for bipartisan support to crack down on corporate price gouging, improve Social Security's cost-of-living adjustments, and expand Medicare's ability to negotiate drug prices. Lawson pointed out that corporate profits have significantly contributed to inflation, particularly during the pandemic recovery.
The meeting also addressed concerns about proposed cuts to Social Security, Medicare, and Medicaid, which could severely impact millions of seniors. Lawson warned that such cuts would not lower costs for average Americans but would instead exacerbate financial hardships for older adults. He urged the committee to prioritize the interests of seniors over those of wealthy corporations.
The session concluded with a call for comprehensive reforms to address the economic challenges facing seniors, emphasizing that reducing benefits is not a viable solution to inflation. The discussions highlighted the need for a balanced approach that supports older Americans while addressing the broader economic landscape. The committee plans to continue exploring actionable policies to improve the financial well-being of seniors in the face of ongoing inflationary pressures.
The meeting began with a discussion on the impact of high inflation rates on seniors, who often rely on Social Security payments averaging $1,976 per month. This amount covers only 68% of basic living expenses for a single elderly renter, according to a study by economists at the University of Massachusetts. The National Council on Aging reported that 14% of individuals over 65 live in poverty, emphasizing the need for policies that support aging with dignity.
Key speakers addressed the rising costs of essential services, including healthcare and prescription drugs. It was noted that home health care services increased by 9.5% in December 2024, compounding the inflationary pressures from previous years. The discussions underscored the necessity of reducing the federal budget deficit, which has persisted for 24 consecutive years, to alleviate inflationary pressures and lower interest rates. Incoming Treasury Secretary Scott Bessent's target of a 3% deficit was praised as a potential solution.
Mr. Alex Lawson, executive director of Social Security Works, emphasized the urgent need for Congress to take action against rising costs. He called for bipartisan support to crack down on corporate price gouging, improve Social Security's cost-of-living adjustments, and expand Medicare's ability to negotiate drug prices. Lawson pointed out that corporate profits have significantly contributed to inflation, particularly during the pandemic recovery.
The meeting also addressed concerns about proposed cuts to Social Security, Medicare, and Medicaid, which could severely impact millions of seniors. Lawson warned that such cuts would not lower costs for average Americans but would instead exacerbate financial hardships for older adults. He urged the committee to prioritize the interests of seniors over those of wealthy corporations.
The session concluded with a call for comprehensive reforms to address the economic challenges facing seniors, emphasizing that reducing benefits is not a viable solution to inflation. The discussions highlighted the need for a balanced approach that supports older Americans while addressing the broader economic landscape. The committee plans to continue exploring actionable policies to improve the financial well-being of seniors in the face of ongoing inflationary pressures.
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