Social Security benefits have lost 20% of buying power since 2010 due to flawed COLA calculations. Seniors spend more on healthcare and housing, which inflation outpaces. An annuity may provide a solution for retirees struggling with declining benefits. Retirees need to consider additional income sources due to Social Security’s limitations.

The COLA formula fails to keep up with retiree spending patterns, causing benefits to erode. Seniors spend more on healthcare and housing, areas experiencing higher inflation rates. The Senior Citizens League reports benefits have lost 20% of buying power since 2010. An annuity can provide stable income to offset these challenges.

Retirement planning should focus on creating a reliable income stream. An annuity can offer guaranteed income for life, protecting against inflation. While Social Security benefits continue to decline in buying power, an annuity can supplement income to ensure financial security in retirement. Answering three key questions can lead to earlier retirement for many Americans.

Read more at Yahoo Finance: Social Security COLAs Don’t Cut It. Here’s How An Annuity Can Fill That Gap