GettyIn the United States, Social Security benefits increase in line with inflation, that is the CPI-W. As the UK news site Inews explains,“The triple lock guarantees pensioners a state pension uplift every April of whichever is the highest of inflation, average earnings growth or 2.5 per cent. “The state pension increase in April 2021 will be based on figures from this autumn. The state pension (Social Security) in the UK is a flat benefit — yes, of the sort that I’ve advocated the U.S. moving towards in any future Social Security reform. But it illustrates the unexpected impact of unusual circumstances — similar to the impact of the national average wage decrease, in the U.S., on new retirees’ Social Security benefits, absent a legislative fix.

Source: Forbes July 17, 2020 16:30 UTC