For many retirees, the chance to relax and spend your time your own way is a nice change.

However, some things stay familiar in retirement – like expenses. Even though retirees don’t have to head to work every day if they don’t want to, everyone still has to pay their bills.

While costs are a constant in life, they do change in some ways. Thanks to a variety of economic factors like industry changes, inflation, and lingering pandemic problems, costs are going up.

This is why Social Security COLAs (Cost of Living Adjustments) are such a hot topic among retired individuals. This is true for even the most responsible retirees. Even those who live comfortably will feel the pressure of shrinking benefits in comparison to rising prices.

Where Could Your COLA Come in Handy?

What are some of the costs that COLAs can help cover? They can include:

• Housing and Utilities: Even if you’ve got your housing arrangements covered at the moment, it’s common for people to move once they retire. Adjustments to their benefits can help retirees cover the rising costs of housing, electricity, water, insurance, and other similar needs.
• Food and Clothing: Even with full pantries and closets, retirees may want to treat themselves. It’s rewarding to buy new clothes and feel great, then wear them out to dinner at a nice restaurant. While these costs are rising too, COLAs can compensate for the increase.
• Travel and Transportation: Retirement is a fine time to take trips and see those places you’ve always dreamed of. Transportation by road, air, or sea represents a big cost, as do the supplementary costs of travel like hotels, gas, recreation, and more. With a benefit adjustment, seniors won’t miss out on seeing the world.

As we can see, there are plenty of areas where costs are constantly climbing – and with a yearly adjustment to their benefits, retirees can cover these costs with confidence and enjoy life to the fullest.

At NORA, we’re always thinking about seniors and the way Social Security COLAs could help them. We’re calling for the passage of The COLA Act of 2021. If you’re interested in helping us make sure retirees get the full value of what they’ve worked for, sign our petition – and make sure to follow us on Facebook and Twitter for more content like this.