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For the first time in 35 years, the Congressional Budget Office estimates that older Americans will receive no cost-of-living increases in their Social Security checks for 2010.

Under a “hold harmless” provision of federal law, basic premiums for Medicare Part B cannot rise higher than any year’s COLA. So a zero cost-of-living increase means that the basic premium of $96.40 will not change. Part B covers doctor visits and outpatient services.

The protection does not apply to beneficiaries who do not have Part B premiums withheld from their Social Security checks, pay a higher amount based on higher income, or are newly enrolled in Part B. Their price for Part B will rise unless Congress makes changes before the end of 2009.

Maria Smith-Alvira

http://acommunityonline.com

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