Dialogue urged on benefit cuts

PRIME – November 2013 By Debbie Gardner debbieg@thereminder.com BOSTON, Mass. – America's federal budget crisis may have been temporarily averted, but that doesn't mean negotiations to reduce spending aren't continuing on Capitol Hill. Robert Romasco, president of AARP, said these negotiations, which include potential changes to both Social Security checks and Medicare benefits for millions of Americans, should not be overlooked just because they aren't still in the limelight. "People have paid into these programs their whole lives. They should have some say in how they are strengthened and protected," Romasco said. Romasco spoke with PRIME by telephone prior to an Oct. 28 intergenerational forum at Tufts University in Medford, Mass. He said the stop was part of AARP's national campaign, "You Earned A Say," that has given individuals young and old in all 50 states the opportunity to speak out about the looming Social Security and Medicare challenges. To date AARP has hosted 4,000 "You Earned A Say" events, and received feedback from more than 6 million individuals. "Three-quarters of the people realize that something must be done about Social Security," Romasco said. "Everybody understands that Social Security has a benefit shortfall 20 years from now [but] how do we address it so that our children, and people now in their 20s and 30s don't see a check that is 25 percent smaller." Among the most troubling proposals on the table to curb Social Security costs is converting to a Chained Consumer Price Index (CPI) to calculate benefits. Chained CPI, Romasco explained, assumes if individuals receive a smaller benefit check they can "trade down" on purchases – choosing to buy hamburger instead of steak, for example. However, Romasco said, the average Social Security benefit in Massachusetts totals only $15,000 annually with "no substitute [available] for utility payments, for doctor's visit [costs], for rent or prescriptions." He noted that the proposal, which would take effect Jan. 1, 2014, if approved by Congress, would hurt not only elders, but also countless American families. "One-third [of Social Security beneficiaries] are children, the disabled, widows and Veterans," Romasco noted. He added that once individuals understood the ramifications of Chained CPI, there was high opposition to the proposal "across all political parties." Romasco urged individuals to educate themselves about Chained CPI and other proposals that might affect Social Security and Medicare benefits by visiting www.earnedasay.org. The site includes ideas and proposals for addressing the benefits challenges and information on how individuals can contact their legislators to express their opinions. "Those budget negotiations will be going on from now until mid-December," Romasco noted.