I think 6.1% is unlikely. It would require more than a 0.6% increase in CPI-W for September, and so far gas prices haven't changed this month. March-June were higher than that (June at 1%), but July was only up 0.5% and August only 0.2%. So the high inflation period might be ending. 6% is more likely, but would require an increase of over 0.3% for September. Anyway, the COLA will almost certainly be between 5.5 and 6.2%, and probably between 5.7 and 6%.
The sentence in the article that starts "Most, if not all, of the extra funds will likely be swallowed up by inflation" is kind of silly. The COLA will be high because inflation has been high. The COLA is not designed to give people more real income, but to try to prevent real income from dropping due to inflation.
They need to apply the COLA to the rep fee cap. 6% of $6,000 is $360. It would be a paltry increase for us, but it's something. Inflation affects everyone.
6 comments:
My guess 5.8
I think 6.1% is unlikely. It would require more than a 0.6% increase in CPI-W for September, and so far gas prices haven't changed this month. March-June were higher than that (June at 1%), but July was only up 0.5% and August only 0.2%. So the high inflation period might be ending. 6% is more likely, but would require an increase of over 0.3% for September. Anyway, the COLA will almost certainly be between 5.5 and 6.2%, and probably between 5.7 and 6%.
The sentence in the article that starts "Most, if not all, of the extra funds will likely be swallowed up by inflation" is kind of silly. The COLA will be high because inflation has been high. The COLA is not designed to give people more real income, but to try to prevent real income from dropping due to inflation.
They need to apply the COLA to the rep fee cap. 6% of $6,000 is $360. It would be a paltry increase for us, but it's something. Inflation affects everyone.
Dont worry, I will be lucky if I see 3% this year, probably less.
@mrsharplawyer
I recall John Lewis was pushing a bill for that. Curious if anyone has picked up the idea in recent years.
I see people all the time wishing for a large COLA.
Getting a large COLA is bad news.
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