$1,132 per month for the low income and fixed income beneficiaries of Social Security, including retirement, disability, SSDI, survivors, SSI, VA, and RRB. I have all the details and what you need to know right here in the topic. So let’s get right into it. All right, now, this is a very important baseline number that we need to continue watching very closely, because many millions of low-income and fixed-income beneficiaries may be in store to receive $1,132 each and every month. Now, this number is a key indicator and a very important one that we need to understand.
So let’s get into it and discuss all the details behind this and what they are currently saying about this very key number. Let’s get right into it. I’m here for you each and every day as your one and only daily advocate. Doing all the research and Boiling it all down into these short topics. Which I deliver a couple of times each and every day as it pertains to money. Benefits programs Reform checks Stimulus Raises. The benefits As well as all of these fixed income benefits I mentioned at the beginning of the topic And of course. The low-income seniors Older adults and people with disabilities. I truly want to help you out in any way that I can. There’s a lot going on right now. Things are changing literally every single day. There are updates being announced every single day.
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All right, so the magical number today is $1,132. It’s not just today. In fact, this is the magical number all year long in 2022. And this number will likely be updated once again next year as well as this number typically updates each and every year. Now, let me throw this out there for you, because this is a key statement that has been mentioned, and we kind of need to remember this too, going forward, because this is a key number that a lot of programs are pegged off of.
Let me throw this down for you really quickly. So the president said no older adults or people with disabilities should ever need to live in poverty in America. Okay? So that’s what the president said. But what does that have to do with $1,132 each and every month?
Well, this happens to be the poverty line on a monthly basis. So the federal poverty line, as of right now is $13,590 each and every year. If we divide that out on a monthly basis, it comes out to $1,132 each and every month. Now, again, why do we care and where does this actually come into play and how do we get it? Good question Well, here’s what it comes down to. There are multiple different proposals out there right now and pieces of legislation where Congress does actually want to raise benefits to either 100% of the federal poverty line or even 125% of the federal poverty line. So let me tell you some of the details about this because this is an important understand so. There are a few different programs here. I’ve talked about some of them in previous topics.
But let me lay this out for you right now, because this is the key indicator and this is the key differences between why this number is so incredibly important. Number one, they want to raise SSI Supplemental Security Income benefits up to 100% of the federal power line. Well, as of right now, that’s $1,132 each and every month. Next, we also know the plan out of the President as well as some other lawmakers who want to raise Social Security benefits up to 125% of the federal poverty line. Well, this is also in line with the Social Security 2100 that we’ve talked about in detail in previous topics as well.
So they want to raise it well, in order to determine how much 125% of the federal poverty line is, they need to figure out what is the federal poverty line? Well, exactly, it’s $1,132 each and every month, or $13,590 a year. Therefore, multiplying it by 1.25. Brings us just under $17,000 a year based on those calculations right now. Again, this number is also very important because there are many programs out there that they determine your eligibility based on a percentage of the federal poverty line.
So you’ve probably seen this before. Snap benefits, utility assistance, free Internet, the LIHEAP program, the LIWAP program, housing assistance. I mean, there are so many different things out there. These voucher programs for seniors. There are all of these different programs out there right now.
They determine your eligibility based on your income and where it plots against the federal poverty line, right? So that’s why this number is so incredibly important. So just like going back to that statement that I said a couple of minutes ago about the President and what he said about essentially poverty, again, no older adults or people with disabilities should ever need to live in poverty in America. Okay, good statement. I agree Right I think all of us in this community probably agree. Therefore. With the statements out of the President and what we’re currently seeing with some of these pieces of legislation as far as the SSI Restoration Act. The Social Security 2100.
The President’s plan to lift Social Security benefits to 125% of the federal poverty line. As well as this new proposal out of Bernie Sanders. Elizabeth Warren. And a handful of other Democrats who want to raise Social Security benefits by $200 per month or $2,400 per year. Well That would get a lot of people very close to or above the federal poverty line. $1,132 each and every month. Right? So here’s one more thing I want to throw out there, and this is kind of interesting as well, because the calculations on this are coming out pretty even here, and it’s kind of weird. Maybe Bernie Sanders and Elizabeth Warren were already thinking of this.
I’m not really sure if they were thinking about this, but I was running some numbers on this, as I’m often playing around with numbers. I’m doing a lot of calculations, trying to figure stuff out, and this is a kind of interesting phenomenon. So, as I said, maybe they thought about this, but I’m guessing they probably didn’t think about this. So here’s the deal here. In 2022, based on inflation, it looks like the annual cost of living adjustment is probably going to be historic when it comes in later this year out of the Social Security Administration, right?
We’re looking at anywhere between about eight and a half, possibly even a low 9% range on the cost of living adjustment for 2023. Now, this is going to give beneficiaries anywhere between about, roughly anywhere between about $60,200 every single month, again, depending on your benefit amount and things like this. Obviously, the lower the benefit, the lower the raise is going to be because it’s all based on percentages and it’s a multiplication of percentages. It kind of makes sense. So anyway, obviously, the higher the number when we’re working with percentages, the higher the raise would actually be.
But as a result of that, most beneficiaries are going to get anywhere between about 75 and about 100 or so dollars going forward next year as a result of the call to raise. Now, here’s the thing. In the event that Bernie Sanders and Elizabeth Warren get this proposal actually passed through the Social Security Expansion Act, giving all beneficiaries that $200 per month raise along with the cost of living adjustment, which would be, like I said, about $75 to maybe $100 more. Here’s what’s interesting about it. It would lift millions of people just between those two things, the annual cost of living adjustments for this year alone and this potential $200 raise from this Social Security Expansion Act that we’ve talked about in previous topics, just between these two alone, would bring most people right up to or beyond the federal poverty line by a couple of dollars.
Kind of interesting, right? Yeah. I’ve run the numbers on this thing. And let’s put SSI, for example, Supplemental Security Income, for example. This would be a perfect example right here.
In 2021 sorry, it’s 2022. I’m off for about a year, apparently. Sorry about that. This is 2022 that we’re in right now. The maximum benefit right now is $841 per month.
Well, let’s just use the multiplication of roughly eight and a half percent benefit. That would be about $75 per month. That would bring you to about $913. Now, let’s say that for some reason, and if this actually does include SSI, as in the Social Security Expansion Act from Bernie Sanders and Elizabeth Warren, if it did happen to encompass SSI, adding another $200 on top of that would bring you to guess what? $1,113, that would only be $19 off from the Federal Power line.
Interesting, right? Yeah, kind of weird how that’s kind of working out. The math is kind of coming together in all this where even SSI, potentially, if all the stars aligned and everything came in, this would bring people pretty damn close to the Federal Poverty Line, right? So, anyway, pretty interesting stuff that’s actually going on right now. But anyway, this is a very key number that we need to watch very closely.
$1,132 each and every month and how it pertains to the low income and fixed income, along with all of these proposals, pieces of legislation, the talk out of different senators, the administration, the President, as well as the SSI Restoration Act, and of course the Social Security 2100. I don’t know, things are aligning here. Kind of interesting how this is all playing out to kind of line up perfectly with that number as far as all of these other bills and proposals and piece of legislation, and again, not to mention all of these other programs that are focused on the low income and how they actually pertain to a percentage of or a multiplication of the federal poverty line, right. So anyway, it’s a key number that we need to watch. And of course, this number does adjust each and every year by a little bit.