Statement By AARP On the 2008 Social Security COLA

Source: AARP Press Center | October 17, 2007

Washington, DC – David Sloane, AARP’s Director of Government Relations and Advocacy, made the following statement in response to the announcement of the 2008 Social Security Cost of Living Adjustment:

“The Social Security Cost of Living Adjustment (COLA) is often the only protection for millions of Americans against inflation. The COLA increase makes sure that all beneficiaries, especially older Americans, have at least one source of income that rises with inflation, and the 2.3 percent increase for 2008 will help many Americans keep up with rising costs.

“Today’s COLA announcement is yet another reminder that Social Security continues to be the central and stable pillar in the life-time financial security of every generation of Americans. In fact, just under one in three older Americans count on Social Security for nearly all of their income, and almost two-thirds of beneficiaries count on Social Security for at least half of their income.

“While essential, the COLA is not enough to help many beneficiaries keep up with the skyrocketing costs of health care, energy and food. This announcement, coming just days after the first of 78 million baby boomers applied for Social Security benefits, also reminds us of the importance of ensuring the long-term solvency of this critical program. AARP wants to ensure that the base of security provided by Social Security will continue for generations to come.

“AARP is working to bring political, corporate and other leaders together to overcome the stalemate in Washington to find broad, bipartisan solutions for the two most important issues facing our members and all Americans – lifetime financial security and affordable health care.

“That means working to solve our country’s biggest long-term fiscal problem – the rising cost of health care – and strengthening Social Security in a way that is fair for every generation.”

AARP is a nonprofit, nonpartisan membership organization that helps people 50+ have independence, choice and control in ways that are beneficial and affordable to them and society as a whole. AARP does not endorse candidates for public office or make contributions to either political campaigns or candidates. We produce AARP The Magazine, published bimonthly; AARP Bulletin, our monthly newspaper; AARP Segunda Juventud, our bimonthly magazine in Spanish and English; NRTA Live & Learn, our quarterly newsletter for 50 + educators; and our website, www.aarp.org. AARP Foundation is an affiliated charity that provides security, protection, and empowerment to older persons in need with support from thousands of volunteers, donors, and sponsors. We have staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands.