One of the first tax cuts to expire under the recent tax law is likely to disproportionately affect older taxpayers and others with the highest healthcare costs starting in 2019, says The Senior Citizens League. "The medical expense deduction will become less generous in 2019, and that is likely to affect older taxpayers, because they tend to have high medical expenses," says Mary Johnson, a Social Security policy analyst for The Senior Citizens League. "A less generous healthcare cost deduction could mean higher taxable income next year," she cautions..This year we celebrated the 50th anniversary of Medicare. Signed into law by President Johnson on July 30, 1965, Medicare has proven itself to be an American success story. At the time of enactment, only half of America's seniors had health insurance, leaving an already vulnerable population one illness away from financial ruin. Medicare ensures that seniors will get the health coverage they worked a lifetime for. It provides seniors and their families with peace of mind and allows all Americans to age with dignity. In my home state of Pennsylvania alone, over 2.3 million seniors rely on Medicare for their health coverage..The federal government will work with the private sector and Congress to implement the recommendations and develop a strategy to create a robust and resilient pharmaceutical and active pharmaceutical ingredient supply chain, including facilitating adoption of novel methods for commercial production of pharmaceuticals and biologics..TSCL does not make campaign contributions because we are funded by our supporters like you, and we simply don't have the millions of dollars like drug companies do. Instead, we rely on you and your vote. Elected officials care about money, but they care even more about your vote..The Republican Platform.Tax Planning? Medical Expense Deduction Becomes Less Generous in 2019.This week, in the days leading up to the five-week August recess, Members of the House focused on a series of tax extension bills and Members of the Senate debated cybersecurity legislation. Meanwhile, one House Subcommittee met to discuss the removal of Social Security numbers from Medicare cards, and The Senior Citizens League saw support grow for three key pieces of legislation..The program will ship roughly one million doses per week to about 6,500 pharmacies across the U.S. as a trial run, beginning Feb. 1They also will boost shipments to states by 5% to 10.5 million doses per week, up from the 10 million doses that were announced a week earlier..Barbara has a number of ways she tries to cope. She qualifies for an age reduction waiver on real estate taxes, and energy assistance to help cover the cost of heating her home. To save on her phone bill, she asked her phone company for a discount and got it. She uses shopping points from Kroger where she buys groceries to save money on gasoline.

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According to Johnson's calculations, the Social Security beneficiaries who are most likely will not to see an increase in their net monthly check are those with benefits below ,264 per month. These individuals will once again be subject to hold harmless in 201Their COLA will be completely offset by the Part B premiums, but their Social Security benefits will not be reduced. "The net result will be no growth in the benefit for the third year in a row," Johnson says. "And that leaves nothing to meet other rising costs, such as Medigap premiums, Part D premiums, out-of-pocket costs, or anything else," Johnson notes..That matters because there are two other legislative measures the Democrats want to pass before the end of this month: President Biden's infrastructure bill and a reconciliation bill. The reconciliation bill is what will set the parameters for funding the government for the next fiscal year..The Senior Citizens League believes Congress must address the loss of buying power by adopting the Consumer Price Index for Elderly Consumers Act. If signed into law, H.R. 1251 would base the COLA on the more fair and adequate CPI-E. Currently, COLAs are based on the Consumer Price Index for Urban Wage Earners, and they fail to keep pace with the inflation experienced by older Americans since goods like gasoline and electronics are weighted more heavily than health care and housing costs. … Continued

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As anyone who was following the news last week knows, Congress failed to reach an agreement on a new coronavirus economic relief bill, so they went home. They have left it up to the leadership in both houses to try and come up with legislation that can pass both bodies, but no one sounds optimistic that will happen before they return in September..Fifty-six percent of participants in a national survey by The Senior Citizens League say they pay taxes on their Social Security benefits. "The tax on Social Security income takes new retirees by surprise," says TSCL Chairman Ed Cates. "This is one retirement expense that must be carefully planned for. The government today taxes the Social Security benefits of a majority of older adults, even people with very modest middle incomes," he notes..Could the annual Social Security cost-of-living adjustment be more fairly adjusted to provide a fixed annual dollar amount? If the dollar amount of the increase were to be based on middle income, then low- and middle-income beneficiaries would be on more equal footing, and higher income beneficiaries would not be hurt any worse than we typically are anyway like this year with a 1.3% COLA! … Continued

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