published 09/17/2009

You have probably heard that Social Security payments will not be increased in 2010.  This is because the overall inflation rate, which determines the Social Security increase, is at or near zero for 2009.  Senior adults who depend on Social Security will really feel this for two reasons.

First, Medicare premiums will go up from $30-$50, and prescription drugs have also increased.  It is not likely that Congress will make any changes to the formula to temporarily allow an increase for 2010, due to their full plate for the remaining months of 2009.

If you are a senior, what should you do?  Start by developing a budget that you will have to live on beginning in January.  Then, begin to adjust your spending habits to work up to that new budget.

To stay on your new, lower budget, get creative with your expenses.  Meet with your neighbors and plan grocery shopping together.  This will not only save gas, but food costs due to buying in bulk.  Lower your electricity usage by keeping blinds closed during the heat of the day, turning your thermostat up a notch or two and unplugging appliances, computers, and cell phone chargers when not in use.  If you have Internet access, check out Cheapskate.com, a Web site that has a lot of ideas for saving money.

For those of you who are still working, if you know a senior adult, consider inviting them over for dinner one night a week, or offer to take them to the grocery store or doctor.  Helping them save just a few dollars will mean a lot.  With God's help and some creativity, we can all get through these challenging times successfully.