'It's not enough': Older adults in Triangle say Social Security benefit doesn't offset rising costs

In effort to combat surging inflation, the Social Security Administration announced its largest cost of living adjustment in nearly 40 years of 8.7%.

The move is going to put about $150 more per month into the pockets of those using Social Security starting in January.

Raleigh resident Pat Byers, 71, welcomed the news, but believes it might not go far enough.

“It’s great. I’m very excited,” she said.

While many people her age are retired, she is training through the Senior Community Service Employment Program to become a more skilled worker and command a higher pay check.

“I’ve received two raises so far,” she told WRAL Five on Your Side.

Starting in January, the average monthly Social Security retirement benefit will rise by about $146, from approximately $1,681 to $1,827.

Earlier this year, Byers found out her landlord was increasing her rent by about $200, meaning the Social Security increase isn’t even enough to cover the rent hike.

“The headlines are all great, but as we know the cost of food, gas and everything is going up,” said Leslie McMillan, a Raleigh insurance expert and benefits broker.

Inflation for common purchases like gas which is at 18.2% and groceries which is at 13%, far outpace the increased benefits. The cost of rent, for example, is up 7.2% more than it was in September 2021.

The cost of Medicare Part B premiums will go down by about $6 per month next year. However, for Medicare Part D, drug coverage, the deductible will go up by $25.

“Most people will only see that if they are taking name-brand drugs,” McMillan explained.

That’s because Medicare reduces the cost of many generic prescriptions. McMillan recommends asking your doctor to try out a generic version of your prescription to offset cost.

Currently, one in four older adults rely on their Social Security check to cover nearly all their income.  Because of the increase payout, which begins in 2023, funding for Social Security will likely run out two years ahead of schedule, before 2034, according to experts.

The Wake County office of the Senior Community Service Employment Program, which Byers trained through, will hold a mass enrollment event. It is scheduled from 10 a.m. to 3 p.m. on Oct.18 at the NC Works Career Center, located at 1830-B Tillery Place in Raleigh.