...and that acronym-laden phrase has got many seniors in an uproar. Misleading headlines, such one from the Associate Press, shout "Millions face shrinking Social Security payments." It's only when you read further that the facts arise: Social Security payments are not "shrinking"--by law they cannot go down--but there won't be a cost-of-living increase added in January 2010.
The issue here is that medical costs, which often hit retirees hard, are going up faster than the core rate of inflation (or deflation, as the case may be). So if a SSI payment stays flat and Medicare prescription drug costs go up, the net amount to recipients may drop slightly.
This probably becomes a political hot potato going into the 2010 congressional election cycle.
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