Some 60 million retirees and other Social Security recipients received some lousy news on Thursday: For the first time in five years, they will likely get no annual raise in their Social Security benefits in 2016.
The reason? A decline in inflation caused by falling gas prices.
The amount of money that Social Security pays out is adjusted each year to take into account the rate of inflation. This is known as the cost of living adjustment, or COLA.
The inflation measure used by the Social Security Administration was down 0.3 percent for the 12 months that ended in August — largely due to a 23 percent drop in gas prices. Thursday’s September reading is likely to show similar numbers. (The COLA is set every October based on the September inflation report.)…..