Washington Says Social Security's Cost-of-Living Adjustments (COLAs) Are Too Small. Here's What Retirees Should Know

It's no secret that Social Security is fraught with problems. One particularly consequential issue is the annual cost-of-living adjustment (COLA). Specifically, while Social Security recipients get an annual COLA meant to protect the buying power of benefits from inflation, many politicians and policy experts believe those COLAs tend to be too small.

Indeed, The Senior Citizens League estimates that Social Security benefits have lost about 36% of their buying power since 2000, and a recent survey suggests that 80% of retired workers think Congress should do more to protect benefit payments from inflation. But earlier this year, a group of Washington lawmakers introduced a bill that could resolve the problem by changing the way COLAs are calculated.

Here's what retired workers should know.

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Source Fool.com