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More U.S. Inflation Pressure to Come From Seniors’ Income Boost

  • Social-security payments may rise most since 1983 as prices up
  • Program adjustments stem from increase in consumer price index
Bloomberg business news
WATCH: Stony Brook University’s Stephanie Kelto sees the U.S. economy going through "growing pains" as it emerges from the Covid-19 pandemic.Source: Bloomberg

U.S. retirees may see bigger-than-usual income bumps next year, maintaining upward pressure on inflation that’s already proving more persistent than economists were expecting.

Next year’s Social Security cost-of-living adjustment -- which is tied to the consumer price index -- is forecast to come in at 6.1%, the biggest increase since 1983, according to The Senior Citizens League. That would put more money in the pockets of 65 million mostly older Americans.