October 17, 2007

Social Security Crunch Begins

The country's first baby boomer -- 61-year-old Kathleen Casey-Kirschling -- applied for Social Security benefits earlier this week, setting off what's been dubbed a "silver tsunami" of retirement-benefit recipients.

Now, just a few short days after Casey-Kirschling's much-hyped application (she filed online, folks!), administrators have announced that Social Security benefits will experience their smallest annual increase in four years in 2008. Starting in January, benefits will rise 2.3 percent for the nearly 50 million people who collect them, sending "the typical retired worker's benefit check" from "$1,055 per month to $1,079," AP reports.

The government based the cost-of-living increase on consumer inflation numbers, which were also released Wednesday. MarketWatch has details.

Posted at 3:45 PM
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