Stimulus checks are hopeful for the seniors in 2022 and the onset of the new variant can provide even more opportunities.
The Omicron variant is spreading fast around the US. This has given a boost to the prospect of further stimulus checks as the risk of great economic trouble lies ahead. Nancy Pelosi made overtures in an interview on Sunday that further stimulus relief could be included in future bills.
How Likely Are The 4th Stimulus Checks?
The Senior Citizens League started pressuring Congress to send those receiving Social Security additional stimulus funds. In a letter to leaders of Congress, TSCL Chairman Rick Delaney called for a one-off $1,400 Social Security stimulus payment for seniors. Such a measure could help defray the costs associated with some seniors from the 2022 cost-of-living adjustment, which was the highest in 40 years, pushing them into a higher tax bracket.
This was done to counter the high levels of inflation. Prices across the country are reaching record highs, and for those on a fixed income like Social Security, they are seeing rapid decreases in their purchasing power. The Bureau of Labor Statistics has reported that since October 2020, consumers are paying on average 6.2% more across the market. Food prices are up 5.3%, while energy costs are up more than 30%.
What seniors have received at the start of 2021 is the new COLA increase. This means that social security payments are being increased by 5.9%. However, inflation is already running higher than this value, putting recipients at a disadvantage. Data shows that inflation grew at its fastest 12-month pace in nearly 40 years during the month of December. It showed a 7% jump from a year earlier, far above the 5.9% COLA increase.
