There’s no two ways about it: the Chained CPI is a backdoor cut to Social Security benefits. It has also drawn the ire of many groups, including the Veterans of Foreign Wars (VFW), for it’s slashing of benefits for disabled Americans, survivors, and veterans.
Now, AARP has released a calculator that allows people currently collecting Social Security benefits to see how much their benefit would be cut under the Chained CPI, and predicts what it will be for those not yet retired.
Here are a few examples:
- For a retiree aged 67 receiving the average Social Security benefit of $14,800/year, their total benefit cut after 10 year would be $2,355; after 20 years it would be $8,905, and after 30 years it would be $19,528.
- For a disabled person at age 40 receiving the average benefit of $13,584/year, their total benefit cut after 30 years would be $17,924, and their total benefit cut after 40 years would be $31,307.
Check out the AARP’s Benefit Cut Calculator to calculate how much your benefit would be cut under the Chained CPI.