This year 2018 the Social Security increase for Senior Citizens, was increased by two percent under President Trump. The projected increase in Social Security for Senior Citizens for 2019, is 2.8 percent.
Seniors in Newberry and South Carolina find this a welcomed benefit.
Under the previous administration, the last five year COLA average increases were only 1.7 percent. Social Security COLA for senior citizens under President Obama was 0 percent for 2016.
I have found many young people do not understand how Social Security works. The employer pays half of the fifteen percent of Social Security due, and each employee pays the other one half into Social Security from their income. At retirement age the senior can start receiving a benefit, much like paying for an insurance policy works.
With more people working in the USA, wages increasing, businesses returning, manufacturing jobs increasing, helps our over all economy. We will see people wanting to buy more goods, which in turns helps in the supply and demand side of economics. More items purchased, secures work for the American worker. Which means more social security contributions.
This week, Canada, not wanting Tariffs put on them like they have been doing to the USA since World War II, has decided to join the USA and Mexico agreement, changing from NAFTA to USMCA.
A rule in the USMCA, requires a significant percentage of work on car manufacturing must be done by workers earning at least $16.00 an hour. The process will be starting 2020, with 30 percent of the work force working on trucks and cars and the percentage of the work force at $16, increasing yearly.
Heather Long of the Washington Post: “Most of the key provisions don’t start until 2020 because leaders from the three countries have to sign it and then Congress and the legislatures in Canada and Mexico have to approve it, a process that is expected to take months.” she continued, “The goal is to have more cars and truck parts made in North America. Starting in 2020, to qualify for zero tariffs, a car or truck must have 75 percent of its components manufactured in Canada, Mexico or the United States, a substantial boost from the current 62.5 percent requirement.”
With decreased Tariffs being changed by Canada in the coming years will help the American workers. Increasing the likelihood of security of American businesses, workers and Social Security for Senior Citizens by the new USMCA, by replacing NAFTA, will help secure the USA for years to come.
Till Next Time!
Louis W. Neiger, CLU, is retired from insurance and security planning, he lives in Newberry. He can be reached at email@example.com.