Senior and Retirement Benefits on the Rise
- Author: Russell Sawayn
- Posted: 2024-07-22
The Internal Revenue Service (IRS) is also allowing increased contributions to retirement accounts. Although the economy is in a doubtful state, these changes project positive outcomes for retirees and seniors.
Seniors and retirees can also take advantage of discounts and advocacy groups to help make 2023 a positive year.
Boosts to Social Security, Supplemental Security Income, and Medicare
Those retirees who are receiving Social Security benefits have received an increase of about $140 per month. This boost came with a cost-of-living adjustment that went into effect in January of this year. This almost 9% increase is the largest to go into effect in about 40 years.
In 2023, a higher maximum benefit for social security has also been set. The maximum a retiree can receive went up to $4,555 per month, compared with $4,194 for last year. Congress is currently also considering ways to not only keep social security solvent but to allow continued cost-of-living increases.
Beneficiaries of Supplemental Security Income (SSI) are also seeing an increase of about $73 per month for individuals and $110 for couples. This boost was meant to help keep up with rising prices and will benefit seniors age 65+ with limited incomes and resources.
Medicare health coverage for seniors also looks promising. The monthly premium for Medicare Part B, which helps cover doctor and health services, is decreasing by over $5 per month while the annual deductible amount is declining by $7 each month. Further, the waiting time from enrollment to coverage has also been shortened.
From Social Security to Medicare, seniors and retirees can expect a little more help from federal and state governments this year.
Senior Savings and Discounts
This year also bodes well for retirement savings. The IRS has increased contribution limits to traditional IRAs, Roth IRAs, and 401(k) plans. Seniors and others planning for retirement can now contribute up to $6,500 to a Roth or traditional IRA, an increase of $500 from last year.
Workers planning for retirement can place up to $22,500 into 401(k)s, and seniors (age 50 and above) are allowed to contribute an extra $7,500. These increased limits can go a long way toward a more comfortable living in retirement.
So too can senior discounts. Although 65 is the age required for Medicare, other benefits come by age 50. The American Association of Retirement Persons (AARP) offers a range of member benefits that include discounts on car rentals, flights, and cruises along with more affordable auto, dental, and vision insurance.
Retail stores also provide senior discounts that help make life more affordable. Walgreens has Seniors Day with 20% discounts for those age 55 or more. Kohl’s offers 15% off purchases on Wednesdays for those who are at least age 60.
Movie theaters and restaurants also provide senior discounts that add up to savings this year. For example, Applebee’s provides a 10 to 15% discount to those 60 and over. Hotels also usually offer discounts to those with an AARP membership or over age 60.
Retirement savings and discounts at stores and restaurants can add up to a better lifestyle.
Senior Resources
Beyond organizations like AARP, seniors can turn to other groups as a resource. The Senior Citizens League (TSCL) is a nonpartisan group that advocates for seniors and retiree benefits.
TSCL helps protect Social Security, Medicare, and veteran retirement benefits. This group has more than one million supporters, provides educational materials, and actively petitions the federal government about issues that affect seniors and retirees.
The National Council on Aging (NCOA) is another advocacy group that provides benefits to seniors. The NCOA works with businesses and nonprofit organizations for equitable treatment of senior workers. This group provides information about health and aging and helps with finding caregivers.
The Pension Rights Center is another example of a resource group for seniors. It focuses on making sure that individuals and families receive the full retirement benefits that have been earned.
