Retirees tend to be careful planners, especially when it comes to finances. But even the most well-intentioned senior can find themselves living paycheck to paycheck if inflation goes up.
Inflation is when prices for goods and services rise. This happens when the money supply grows faster than the economy, which results in more money chasing after the same number of goods. When this happens, each dollar you have is worth less than it was before.
This can be a particular problem for seniors, who are living on a fixed income. Their Social Security checks may not keep up with the rising cost of living, which can make it difficult to pay for basic necessities like food and housing.
A recent article from Fox 5 Atlanta details how price hikes have impacted seniors, many of whom are already struggling to make ends meet and living paycheck to paycheck. The story cites a report from the National Consumer Price Index, which found that prices for food and housing have risen at a faster rate than the overall inflation rate in recent years.
One senior was quoted as saying, “The senior population is going to become the next big homeless population.”
At The Seniors Center, we understand the challenges that seniors face. We’re calling on Congress to pass legislation that would protect the future of Social Security, one of the most important tools we have to fight back against inflation.