You are using an older browser version. Please use a supported version for the best MSN experience.

Elizabeth Warren wants to send seniors a check for $580

HuffPost logo HuffPost 11/5/2015 Arthur Delaney
UP NEXT
UP NEXT

WASHINGTON -- Elizabeth Warren would like to send every senior citizen and disabled veteran in America a check for $580. 

The Democratic senator from Massachusetts said she thinks seniors got a raw deal when the Social Security Administration announced last month that, because prices haven't risen in the past year, Social Security benefits wouldn't be going up, either. 

"Social Security benefits are supposed to be indexed to inflation so that benefits rise when prices go up," says a press release announcing Warren's Seniors and Veterans Emergency Benefits Act. "But Congress’s formula is volatile and does a poor job of reflecting what older Americans actually spend."

Arguing that the government's measurement of inflation is wrong, Warren's office said her bill would give seniors and veterans a one-time lump sum of about $580, or roughly 3.9 percent of their annual benefits. The percentage represents the average increase in compensation for CEOs last year, the release says.

The cost of the bill would be offset by ending a tax "loophole" that allows businesses to write off performance-based executive compensation. Republicans control Congress and are unlikely to support the legislation. 

Warren and other Democrats have proposed changing the way the government measures inflation for Social Security and other programs. Falling gasoline prices held down the government's current measure of inflation, but would have had less of an effect on an alternate measure that Democrats say better reflects seniors' spending habits. Still, going by that measure would have only yielded a 0.6 percent boost in benefits next year.

  FILE - In this July 16, 2015 file photo, Sen. Elizabeth Warren, D-Mass., listens to Federal Reserve Chair Janet Yellen testify before the Senate Banking, Housing, Urban Affairs Committee on Capitol Hill in Washington. Warren continues to stockpile campaign funds, even though she has not yet committed to a 2018 re-election bid. (AP Photo/Susan Walsh, File) ASSOCIATED PRESS © ASSOCIATED PRESS FILE - In this July 16, 2015 file photo, Sen. Elizabeth Warren, D-Mass., listens to Federal Reserve Chair Janet Yellen testify before the Senate Banking, Housing, Urban Affairs Committee on Capitol Hill in Washington. Warren continues to stockpile campaign funds, even though she has not yet committed to a 2018 re-election bid. (AP Photo/Susan Walsh, File) ASSOCIATED PRESS

AdChoices

More from Huffington Post

AdChoices
AdChoices
image beaconimage beaconimage beacon