Personal Injury and Social Security Disability Blog

Social Security’s Online Retirement Estimator Available in Spanish

Announcement from the Social Security Administration:

Michael J. Astrue, Commissioner of Social Security, announced that the agency’s most popular online service – the Retirement Estimator – is now available in Spanish at www.segurosocial.gov/calculador.  The Retirement Estimator uses a person’s own Social Security earnings record to provide immediate and personalized benefit estimates.  To publicize the website and the new Spanish-language service, Social Security has enlisted the help of the widely popular and well-respected host of Sabado Gigante, Don Francisco.

 

Social Security Unveils New Home Page to Make Finding Services Easier

The Web site of the Social Security has a new look, as of yesterday. Here is the announcement from SSA:

Michael J. Astrue, Commissioner of Social Security, today unveiled the agency’s newly redesigned home page at www.socialsecurity.gov that will help visitors more quickly and easily find the information and services they need. One of the key features of the redesigned home page is a service channeling guide, which appears in the left hand column of the page. The guide links users directly to the most popular pages on Social Security’s web site -- the services visitors are most likely to want to use.

“We set out to make Social Security’s new home page even easier for visitors to find the services and information they need,” Commissioner Astrue said, "and our new look reflects the useful feedback we received from the public during testing. Almost everyone either needs the information on our site or can use it to help a relative or neighbor. See for yourself at www.socialsecurity.gov.”

Other features of the new home page include a rotating “showcase” that provides high visibility for significant agency initiatives that benefit the American public. Redesigned subpages for the major Social Security benefit programs -- Retirement, Disability, Survivors, SSI, and Medicare -- are easily accessed by clicking on the row of horizontal blue buttons at the top of the home page. An additional button -- Business Services -- links to a portal with information and services Social Security offers to businesses. A news section keeps readers up-to-date on important Social Security announcements, and a large question mark on the right side of the page takes visitors to frequently asked questions. While the look of the website may have changed, the bookmarked links to users' favorite pages have not.

According to the American Customer Satisfaction Index, Social Security has the three highest rated online services in all of government – the Retirement Estimator, online benefit application, and the Help with Medicare Prescription Drug Plan Costs application. The customer satisfaction scores for these online services exceed the top-rated commercial site, Netflix.

To visit Social Security’s redesigned home page go to www.socialsecurity.gov.

 

No Social Security Cost-of-Living Increase for 2011

As I've written before, there will be no cost-of-living increase in Social Security benefits in 2011. This is the second year in a row with no increase. Of course the reason is that inflation did not rise enough to trigger an automatic increase.

The actual rule is a bit complicated: the COLA is determined by comparing the change in the Consumer Price Index (CPI-W) from the third quarter of 2008, the last year that a COLA was determined, to the third quarter of 2010. There was no increase in that period. This is in contrast to the change from 2008 to 2009, which was 5.8 percent, the largest increase since 1982.

The Social Security Administration has issued a press release about the lack of increase, and a fact sheet listing the amounts of each type of benefit available through Social Security. Here is the text of the press release:

Monthly Social Security and Supplemental Security Income (SSI) benefits for more than 58 million Americans will not automatically increase in 2011.

The Social Security Act provides for an automatic increase in Social Security and SSI benefits if there is an increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of the last year a cost-of-living adjustment (COLA) was determined to the third quarter of the current year.  As determined by the Bureau of Labor Statistics, there is no increase in the CPI-W from the third quarter of 2008, the last year a COLA was determined, to the third quarter of 2010, therefore, under existing law, there can be no COLA in 2011.

Other changes that would normally take effect based on changes in the national average wage index also will not take effect in January 2011.  Since there is no COLA, the statute also prohibits a change in the maximum amount of earnings subject to the Social Security tax as well as the retirement earnings test exempt amounts.  These amounts will remain unchanged in 2011.  The attached fact sheet provides more information on 2011 Social Security and SSI changes.

Information about Medicare changes for 2011, when available, will be found at www.Medicare.gov.  The Department of Health and Human Services has not yet announced if there will be any Medicare premium changes for 2011.  Should there be an increase in the Medicare Part B premium, the law contains a “hold harmless” provision that protects more than 70 percent of Social Security beneficiaries from paying a higher Part B premium, in order to avoid reducing their net Social Security benefit.  Those not protected include higher income beneficiaries subject to an income-adjusted Part B premium and beneficiaries newly entitled to Part B in 2011.  In addition, almost 20 percent of beneficiaries have their Medicare Part B premiums paid by state medical assistance programs and thus will see no change in their Social Security benefit.  The state will be required to pay any Medicare Part B premium increase.

For additional information about the 2011 COLA, go to www.socialsecurity.gov/cola.

For additional information about changes in the national average wage index, go to www.socialsecurity.gov/OACT/COLA/AWI.html.

 

Don't Hold Your Breath for a Social Security Cost-of-Living-Adjustment for 2011

The official announcement as to whether there will be a cost-of-living-adjustment (COLA) to Social Security benefits for 2011 will come later in October. But as the situation stands now, the odds are good there will not be an adjustment. That would be two years in a row with no benefits increase.

The COLA calculations are complicated — everything the government does seems to be unnecessarily complicated — but the basic rule for Social Security is that inflation is tracked by using the figures for the third quarter of the most recent year that had an adjustment. So the Social Security Administration will compare the third quarter of 2010 to the third quarter of 2008 (the last year for which we had an adjustment), and if there has not been an upward change in prices there will be no COLA for 2011. Things could change, but the latest calculations point to no change. Almost 60 million people in the United States receive Social Security retirement, disability, or supplemental income benefits.

Social Security Numbers - Everything You Could Want To Know

Have you ever wondered whether the nine digits in your Social Security number have any meaning or whether they're just totally random? The answer to this and to every other question you could ever dream of asking about Social Security numbers can be found in a report prepared by the Social Security Administration.

I'll answer that question for you though — the numbers are not completely random. The first three digits are assigned geographically, the next two are a group number used for sorting purposes, and the last four are the random ones.

Bill Introduced to Provide One-Time $250 Payment to SS Recipients

The Chairman of the House Ways and Means Social Security Subcommittee, Rep. Earl Pomeroy (D-ND), has introduced H.R. 5987, The Seniors Protection Act of 2010, that would provide a one-time $250 payment to retired and disabled Social Security and SSI beneficiaries (and to veterans) if there is no cost-of- living adjustment (COLA) announced for 2011.

Any COLA for 2011 will be determined in October by comparing the change in the Consumer Price Index (CPI-W) from the third quarter of 2009 to the third quarter of 2010. It is likely that there will be no increase. There was a large increase in energy costs in the summer of 2008, which resulted in a 5.8% COLA, paid starting in January 2009. However, prices dropped in the fall of 2008 and have not regained the level of the third quarter in 2008. As a result, there was no COLA for 2010 because there was no increase from the third quarter of 2008 to the third quarter of 2009.

If there is no COLA for payments in 2011, it will be the first time since automatic COLAs began that Social Security and SSI benefi ciaries did not receive a benefit increase for two consecutive years.

President Signs 2010 Budget Bill – SSA Gets 10% Increase

Congress has passed an omnibus appropriations bill for fiscal year (FY) 2010, which was signed into law by President Obama. As expected, the Social Security Administration will receive a 10% increase over the FY 2009 appropriation.

 This increase will allow SSA to proceed with its ODAR hiring plans: 226 new Administrative Law Judges (ALJs), 950 support staff, 60 hearing office managers, and additional staff for the Appeals Council. By the end of the fiscal year, SSA expects to have 1,450 ALJs. Not too many years ago, the number of ALJs was around 1,000. The FY 2010 funding also will allow SSA to maintain the number of field office staff (increased in 2009) and provide additional funding for DDSs.

 Source: National Organization of Social Security Claimants Representatives

Social Security Sending Corrected Benefit Notices

This press release was posted today by the Social Security Administration:

The Social Security Administration earlier this month mailed notices that contained incorrect January 2010 payment dates.  These erroneous notices went to about 6 million beneficiaries who receive their payments on either the second, third, or fourth Wednesday of each month, and are part of the annual benefit notices that go to 52 million Social Security beneficiaries.  In the notice the payment date is incorrectly shown as one week before what the actual date of payment will be.  The other information in the notice, including the payment amount, is correct.  Social Security is sending a letter explaining the error to beneficiaries who received the incorrect one as soon as possible.

“We apologize for the inconvenience and confusion these incorrect notices will cause,” said Michael J. Astrue, Commissioner of Social Security.  “The problem was caused by an unfortunate human error.  We are correcting the misinformation as quickly as possible, and we are reviewing our processes closely to prevent this type of mistake from happening in the future.  People receiving Social Security benefits in January 2010 should know that their payment will arrive on the same payment day that it has arrived in the past.”

Obama Proposes Extra One-Time Payment to Social Security Recipients

As a follow-up to the last post, the press is reporting today that President Obama is proposing a one-time payment of $250 to Social Security recipients and others to partially make up for the lack of a cost-of-living-adjustment in 2010. The payments would be made sometime next year, and would go to all Social Security retirement and disability recipients as well as to veterans and railroad and governmental retirees. If a person fits into more than one of those categories, the total payment would still be only $250. There are roughly 57 million people who would qualify, and the total cost would be about $13 billion.

There will be no COLA next year because that is tied to the inflation rate, and there will actually be a negative inflation rate this year. Benefit payments cannot be reduced though, as a matter of law. Next year would be the first ever with no COLA since that program was made permanent in 1975. In January of 2009 the COLA increase was about 5.8%.

No Social Security COLA for 2010?

This is a press release from the Social Security Administration:

Prompt Passage of Economic Recovery Act Payment for 2010 Needed

With consumer prices down over the past year, monthly Social Security and Supplemental Security Income benefits for more than 57 million Americans will not automatically increase in 2010.  This will be the first year without an automatic Cost-of-Living Adjustment (COLA) since they went into effect in 1975.

“Social Security is doing its job helping Americans maintain their standard of living,” Michael J. Astrue, Commissioner of Social Security said.  “Last year when consumer prices spiked, largely as a result of higher gas prices, beneficiaries received a 5.8 percent COLA, the largest increase since 1982.  This year, in light of the human need, we need to support President Obama’s call for us to make another $250 recovery payment for 57 million Americans.”

The Social Security Act provides that Social Security and Supplemental Security Income benefits increase automatically each year if there is an increase in the Bureau of Labor Statistics' Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of the last year to the third quarter of the current year.  This year there was no increase in the CPI-W from the third quarter of 2008 to the third quarter of 2009.  In addition, because there was no increase in the CPI-W this year, under the law the starting point for determinations regarding a possible 2011 COLA will remain the third quarter of 2008.

Some other changes that would normally take effect in January 2010 based on the increase in average wages also will not take effect, even though average wages did increase.  Since there is no COLA, the statute prohibits an increase in the maximum amount of earnings subject to the Social Security tax as well as the retirement earnings test exempt amounts.  These amounts will remain unchanged in 2010.  The attached fact sheet provides more information on 2010 Social Security changes.

Information about Medicare changes for 2010, when available, will be found at www.Medicare.gov.  The Department of Health and Human Services has not yet announced if there will be any Medicare premium changes for 2010.  Should there be an increase in the Medicare Part B premium, the law contains a “hold harmless” provision that protects about 93 percent of Social Security beneficiaries from paying a higher Part B premium, in order to avoid reducing their net Social Security benefit.  Those not protected include higher income beneficiaries subject to an income-adjusted Part B premium and beneficiaries newly entitled to Part B in 2010.  On September 24th, the House passed legislation by 406-18 that would, on a fully paid-for basis, prevent abnormally large premium increases.  The President is calling on the Senate to enact this legislation before it becomes too late for the Social Security Administration to update its computer systems to implement this needed change.

For additional information about the 2010 COLA, go to www.socialsecurity.gov/cola.