The Social Security Administration last week announced a 2.8% cost-of-living increase for Social Security beneficiaries starting in January and for Supplemental Security Income beneficiaries beginning Dec. 31.
More than 67 million Americans receive Social Security and SSI benefits.
Responding to the announcement, AARP's chief Jo Ann Jenkins said in a statement, "The 2.8% COLA announced today brings needed income security to those Social Security beneficiaries and their families who depend on their earned, modest benefits."
She noted that the COLA was particularly important for millions of families who depend on Social Security for all or most of their retirement income. This is especially the case for older women and minorities, according to an AARP.
"Unfortunately, the cost-of-living increase may not adequately cover their expenses that rise faster than inflation including health, prescription drug, utility and housing costs," Jenkins said.
Along with Jenkins's remarks, AARP announced the opening of the Social Security Resource Center, a one-stop site for consumers seeking answers to their Social Security and retirement questions, including when to claim.
AARP said research it recently conducted found that 43% of beneficiaries reported that they had started exploring their Social Security options less than a year before making their first claim.
