Social Security changes for 2014

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SARASOTA, FL--- Social Security recipients will see a little more money come 2014.  The Social Security Administration announcing a cost of living increase of 1.5%t for nearly 63 million people.  

"That is really almost insignificant," said Mary Jane Pando.  Pando is a among the many recipients that will receive the 1.5% increase starting January 2014.

"Its not enough to help anybody, because our insurance policy's are going up too, so it's a no win situation," added Pando.

According to officials the 1.5 percent increase is tied to country's inflation rate.

"The cost of living adjustment is based on the Consumer Price Index from the third quarter of 2012 to the third quarter of 2014," said Pattie Patterson with the Social Security Administration.

The Consumer Price Index measures changes in the price for goods and services. And, with little growth in the economy the items being tracked have also seen little to no increase. But, many social security recipients disagree saying they are constantly being hit with rising cost. 

"Every time you go to the supermarket, the cans are smaller, the jars a smaller, and the prices are going up so this is really insignificant," said Patterson.

"Its hard to keep up with the high cost of living and bills such as insurance premiums, gasoline, and the things that aren't really tied to the inflation," said Michael Capierseho with Sarasota Health and Financial Services.

Still Capierseho says the slight increase has a positive.

"I can understand the government attempting to keep the revenue down because the deficit is high and inflation is low," he added.

But the 1.5% increase is relatively modest when compared to the pervious two year years.   At the beginning of 2013 recipients saw a 1.7% increase and 3.6 percent in 2012. But, in 2011 and 2010 there was no social security wage increase at all.  Which is why many like Pando says any increase is good.

"It's nice to get it but I think they could have did a little better," added Pando.

In addition to the 1.5% wage increase. The social security administration announced it is also increasing the taxable wage from $113,000 to $117,000. The change is expected to impact about 10 million people.